• Mon. Mar 4th, 2024

Wall Street Wakes Up Slowly: Stock Markets Fluctuate, Diamondback Energy Announces Major Acquisition and Coca-Cola Prepares to Release Earnings

ByEditor

Feb 13, 2024
Diamondback acquires Endeavor Energy as consolidation in the oil sector persists on the stock exchange

On Wall Street, the stock indices opened near zero and made an effort to rise slightly during the first half hour. The Dow Jones of large companies was up 0.05 percent, the Nasdaq, which focuses on the technology sector, was up 0.11 percent, and the broad S&P 500, which reached a new record high on Friday, was up 0.03 percent at the time.

In other news, Diamondback Energy announced that it would acquire its competitor, Endeavor Energy Resources, for $26 billion. Diamondback will pay the purchase price in cash and stock. This news caused Diamondback’s share to rise more than seven percent. The resulting company will become the largest operator in the traditional Texas oil production area of the Permian Basin. This acquisition is part of the industry’s trend of consolidation, as companies seek to acquire drilling areas and cut costs. Similar acquisitions by other companies, such as Exxon Mobil and Chevron Corporation, have also been reported in recent months.

As earnings season continues on Wall Street, Coca Cola is set to announce its October-January results and last year’s financial statements tomorrow. Additionally, tomorrow will see the publication of the country’s inflation figures for January in the United States.

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