Since April 20th, it's been a see-saw effect for Halliburton's (NYSE:HAL) shares. After seeing them plummet 14.8 percent at the close of the New York Stock Exchange yesterday at 4:00 PM, it left many investors doubting any turn around would happen.
Although this wasn't necessarily a surprise, this was the foreseen doom that would effect all oil stock prices if BP was unsuccessful at stopping the oil with their "top kill" fuel containment effort. Halliburton's role was the cementing of the well, among other things to do with the development of the blown out well.
On Wednesday, Halliburton's stock rises, increasing more than 12 percent. It's believed its due mainly to the story from the Dow Jones which reported that Halliburton believes that it will be fully indemnified from all expenses and claims resulting from the April 20th oil spill. Executives said they are confident that they will be exempt from any claims as a result of the spill. They say they have $600 million in general liability insurance.
This may be wishful thinking on Halliburton's part. Transocean is also trying to cap their liability. The Obama administration is challenging Transocean's attempts.
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