Why Valaris Rallied Today

Shares of offshore drilling equipment provider Valaris (NYSE: VAL) rallied 8.5% on Tuesday.

While Valaris didn't report company-specific news today, oil prices rose about 4.5% as of this writing, reaching roughly $106 per barrel. Oil prices were climbing as overseas supply took another hit, this time due to the Russia-Ukraine conflict. Today's damage comes shortly after a key pipeline in Saudi Arabia was damaged last week.

According to local authorities monitoring local Telegram channels, both Russia and Ukraine struck each other's oil refining facilities overnight. What's especially notable about the strikes is that they seemed to contradict President Trump's recent assurance that both sides had agreed to hold off on striking each other's oil facilities. Just yesterday, President Trump wrote on his social media platform, Truth Social, "Ukraine has agreed not to hit Russian Energy targets. Russia has agreed to do likewise!"

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