OPEC+ Unwinds Cuts; Markets Show Narrow Gains

OPEC+ agreed to unwind about 137,000 barrels a day of cuts in December as major energy firms reshuffled assets — BP announced plans to sell $1.5 billion of U.S. midstream stakes, Eni and Malaysia’s Petronas are combining upstream assets, and Russia’s Lukoil is divesting some international projects to trader Gunvor amid sanctions concerns — while China is rapidly building reserves and a large Brazil offshore liquids discovery adds potential supply. Oil majors such as Exxon and Chevron reported weaker Q3 profits. U.S. stocks climbed after the Federal Reserve’s quarter-point rate cut and strong results from many mega-cap, AI- and cloud-focused companies, but gains were narrowly concentrated with large caps outperforming and most sectors falling. The Magnificent Seven’s strength masked divergent company stories, including Meta plunging after a $15.9 billion tax charge and Pfizer trading with roughly a 7% yield amid demand and dividend risks. Analysts warned that many S&P 500 and mid-cap names do not merit broad ownership, calling out Western Digital, Ingersoll Rand, FedEx, Dollar General and Somnigroup for sales, margin or leverage issues, underscoring the need for selective stock-picking amid uneven market leadership.