Crude futures have rebounded a bit this morning ahead of tomorrow's inventory report. In addition, investors continue to keep an eye on the diplomatic efforts to avoid a Turkish incursion into Northern Iraq. The freshly crowned December contract advanced 37 cents to $86.39 per barrel ahead of this morning's open. Along this line, MarketWatch reports that U.K. financial betting Web site is seeing oil stocks picked to rise by a 28-to-1 margin. The site notes that this is an unprecedented ratio.

Energy shares have hitched their wagon to the broader market this morning, advancing as the Dow Jones Industrial Average (DJIA) has added more than 60 points. The AMEX Oil Index (XOI) is 0.5% higher on the morning, the Philadelphia Oil Service Index (OSX) is 1.7% higher, and the AMEX Natural Gas Index (XNG) is slightly higher. The big mover this morning is BP , which advanced although it posted a 29% drop in earnings.