The Stock-Specific Impact of Rising Energy Costs

Justin Lahart in today's Ahead of the Tape column in the WSJ names the stock market victims of rising energy prices. Specifically:

• Each $10 rise in the price of oil (per barrel) increases costs to the chemical industry by $2.6 billion per year.
• Each $1 rise in the price of natural gas (per BTU) increases costs to the chemical industry by $3.7 billion per year.

The stock market victims:

• Chemicals producers, particularly Dupont (ticker: DD)
• Packaging goods maker Sonoco (ticker: SON), which relies on petroleum-based materials.
• Coal company Massey Energy (ticker: MEE), a large consumer of energy and explosives.
• Consumer products firm Procter and Gamble (ticker: PG), also hit by higher commodities costs.

Full article here (paid subscription required).