Energy Stocks Fail to Lure Retail Investors Despite Oil Rally

  • 📰 BNNBloomberg
  • ⏱ Reading Time:
  • 32 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 16%
  • Publisher: 50%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

Energy stocks have failed to capture the imagination of retail traders as individual investors sit out the rally — despite exhortations by top Wall Street strategists to jump in.

That might be because energy equities have struggled to keep pace with skyrocketing oil. The S&P 500 Energy Index has jumped about 14% since late June, but oil prices have outstripped the sector over the same period soaring roughly 30% to top $93 a barrel — a 15-month high — driven by OPEC+ supply cuts and the promise of increasing demand as the outlook for the world’s biggest economies improves.

Even calls for oil at $100 a barrel has not been able to draw generalists into oil and gas stocks. “Rather than chasing the rally in energy stocks, retail investors are currently exhibiting caution,” Vanda Research analysts led by senior vice-president Marco Iachini wrote in a Sept. 14 note. Some of the divergence can also be traced to struggles at specific large-capitalization oil stocks, like Chevron Corp., which accounts for 17% of the S&P 500 Energy Index. The stock has fallen over 7% year to date, weighted down by concerns over a strike at a major LNG project in Australia and disappointing production growth.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 83. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Hedge funds sell energy stocks, increase bearish betsBy Carolina Mandl and Nell Mackenzie NEW YORK/LONDON (Reuters) - Hedge funds ditched energy stocks last week for the first time in three weeks, despite ...
Source: SaltWire Network - 🏆 45. / 63 Read more »

Hedge funds sell energy stocks, increase bearish bets GoldmanFirm says levels are approaching a May 2020 low
Source: globeandmail - 🏆 5. / 92 Read more »

Hedge funds sell energy stocks, increase bearish betsMarket News
Source: KitcoNewsNOW - 🏆 13. / 78 Read more »

Stocks mixed as Wall Street braces for Fed meeting: Stock market news todayWall Street fixed its focus on an upcoming Federal Reserve meeting where the central bank will issue its next interest rate decision: stock market news today.
Source: YahooFinanceCA - 🏆 47. / 63 Read more »