Energy stocks fall as crude drops on easing supply fears after US, Iran agree to talks

S&P 500 energy index .SPNY down 2.3%, tracking a decline in crude prices O/R

Brent crude futures LCOc1 down 3.2% at $67.27/barrel, U.S. West Texas Intermediate (WTI) crude futures CLc1 falls 3.3% to $62.97/barrel

Prices decline after the U.S. and Iran agreed to hold talks in Oman on Friday

UBS analyst Giovanni Staunovo says oil prices are strongly influenced by tensions in the Middle East, with markets closely watching the talks in Oman

Energy majors Exxon Mobil XOM.N and Chevron CVX.N down 2.1% and 1.7%, respectively

APA Corp APA.O, SLB SLB.N, Occidental Petroleum OXY.N , ConocoPhillips COP.N decline between 3.7% and 5.3%; among the top percentage losers on the energy index

Separately, COP misses Q4 profit estimates due to weaker crude prices in the quarter

Oilfield services company Baker Hughes BKR.O falls 3.5% and its peer Halliburton HAL.N down 3.5%

Refiners: Phillips 66 PSX.N declines 1.7% and Marathon Petroleum MPC.N falls 2.2%