Energy Index ETFs have surged 48% year-to-date! U.S. energy stocks remain "cheap" despite the rally: sustained high oil prices could drive a valuation recovery.
The Energy Select Sector SPDR Fund, an ETF tracking U.S. energy stocks, has surged 483% year-to-date, significantly outperforming all other S&P 500 sectors. Despite this rally, the energy sector remains one of the lowest-valued segments within the S&P 500. While elevated oil prices have generated excess profits for energy companies, Wall Street previously viewed this earnings growth as transient. However, if high oil prices persist longer than expected, the valuation re-rating of energy stocks may only just be beginning.
EIA Significantly Raises Oil Price Forecasts: Brent Crude Average Price Expected to Reach $91 in 2026 Amid Greater-Than-Expected Supply Disruptions
The U.S. Energy Information Administration (EIA) projects that the average spot price of Brent crude will be $91 per barrel in 2026 and $74 per barrel in 2027, representing upward revisions of $4 and $5, respectively, from previous forecasts. The average Brent price in the second half of 2026 is expected to be approximately $90 per barrel, $8 higher than previously projected. The EIA anticipates an average production disruption of about 5.7 million barrels per day in the fourth quarter, with global inventories continuing to decline.
Chevron CFO Says Oil Giant Is 'Bigger, Better and Stronger Than We've Ever Been'
Chevron Corporation (NYSE:CVX) is targeting a sharp increase in Venezuela production while squeezing more cash from its U.S. shale operations and pursuing new growth opportunities in the Middle East
Central banks are no longer focused solely on oil prices; cracking spreads are sounding the alarm on inflation.
Crack spreads, defined as the price differential between refined petroleum products such as gasoline and diesel and crude oil, are becoming a key indicator for central banks in assessing inflationary pressures. Conflicts in the Middle East and between Russia and Ukraine have disrupted global refining capacity, tightening the supply of refined products and driving crack spreads sharply higher. Bank of England Governor Andrew Bailey stated that he is currently more concerned about the widening of crack spreads than about crude oil prices, while the European Central Bank has also incorporated them into its assessment of energy prices and inflation risks.
Oil Tops $100: Ten Oil Stocks With the Strongest Quant Ratings
Dow Falls to a 1-month Low as Downward Pressure Persists on the Blue-chip Index
Brent Tops $100 as Morgan Stanley Warns Oil, Rates Are 'Main Risks' to Stocks
Brent crude climbed above $100 a barrel Wednesday as Morgan Stanley warned that higher oil prices and interest rates remain the main near-term risks to stocks.Analysts led by chief U.S. equity
Oil Hits $100: Which Stocks And ETFs Win Or Lose?
Brent crude rose above $100 per barrel Wednesday for the first time since July as attacks on tankers and energy infrastructure intensified across the Middle East. West Texas Intermediate, the U.S.
JPMorgan: Full restoration of the Strait of Hormuz remains difficult; oil prices still require a high risk premium
1. JPMorgan believes that the partial resumption of navigation through the Strait has alleviated short-term supply pressures, but has also reduced the incentive for the United States to reach a compromise with Iran promptly; 2. With Iranian oil exports nearing zero, a sharp depreciation of the rial, and inflation approaching 90%, economic pressures are continuously undermining its negotiating position; 3. European natural gas and refining margins, as well as U.S. diesel prices, have risen significantly, indicating that the energy shock is spreading from crude oil to transportation, industrial sectors, and end-user prices.
U.S. Bank Announces Live Pilot Cross-Border Payment Between Its North America And Europe Entities Using USBDC Dollar-Backed Stablecoin On Stellar Blockchain
U.S. Bank Announces Live Pilot Cross-Border Payment Between Its North America And Europe Entities Using USBDC Dollar-Backed Stablecoin On Stellar
SpaceX Doesn't Need to Beat Verizon, AT&T or T-Mobile to Disrupt Wireless, Analyst Says
Space Exploration Technologies Corp. (NASDAQ:SPCX) stock is trading lower Wednesday as broader market sentiment weakens ahead of the opening bell. Nasdaq futures are down 0.44% while S&P 500 futures
Bank of America: Oil prices could rise another 50%
As hostilities between the United States and Iran reignite and intensify, international oil prices have recently returned to an upward trajectory, currently approaching the $100-per-barrel threshold and emerging as the primary risk facing U.S. equities.
Xiao K Morning Brief | DeepSeek Significantly Cuts Pricing for Flash Series Models; Qualcomm and Amazon Plan to Jointly Build AI Data Centers
① Day 5 of the 2026 National Reimbursement Drug List (NRDL) negotiations: Multiple pharmaceutical companies introduced blockbuster drugs, including radiopharmaceuticals and new CAR-T therapies; ② Corning signs a multi-billion dollar fiber optic supply agreement with Verizon; ③ Industry insiders: Tight supply and demand for mature-node chips may persist until 2028.
Amid escalating tensions between the U.S. and Iran, crude oil prices continued to rise, halting the dollar's decline, while the yen remained firm on speculation of accelerated rate hikes by the Bank of Japan; USD/JPY moved from 154.40 yen to 153.46 yen.
[London Market Overview] In the London foreign exchange market on the 8th, the USD/JPY pair traded in a narrow range. The yen initially strengthened on expectations of accelerated monetary tightening by the Bank of Japan, with the pair falling to as low as 153.73 yen. However, supported by firm crude oil prices and U.S. long-term interest rates, the dollar recovered, pushing the pair up to 154.28 yen. The EUR/USD fell to $1.1608 amid dollar buy-backs but rebounded to $1.1616 as dollar buying subsided. The EUR/JPY followed the USD/JPY trend, moving from 177.86 yen to 179.44 yen despite downward pressure.
U.S. stock markets extend losses amid concerns over rising oil prices due to worsening tensions with Iran (8th)
U.S. stock markets continued their decline. The Dow Jones Industrial Average closed down $628.18 at $52,786.07, while the Nasdaq Composite ended 85.58 points lower at 26,421.41. Supported by the technology sector, indices traded mixed after the open. However, escalating tit-for-tat attacks involving Iran drove up crude oil prices, sparking fears of a resurgence in inflation and triggering a sell-off. Rising long-term interest rates further accelerated the selling pressure, causing losses to widen toward the close. By sector, automotive and auto parts, as well as energy stocks, rose, while consumer...
Escalating US-Iran tensions: Iran claims US missiles struck oil tankers near Kharg Island and warns of attacks on tankers in Kuwaiti and Bahraini ports
Following reports of attacks on Iranian oil tankers, the intraday gain in U.S. crude oil prices widened again to over 2%. The Iranian military warned that tankers docked at ports in Kuwait and Bahrain would become targets of attacks and urged crew members to evacuate immediately. Kharg Island is Iran's primary oil export hub, through which approximately 90% of Iran's crude oil exports previously passed. Earlier on Tuesday, the Iranian military stated that it had captured an advanced U.S. unmanned submarine.
Federal Communications Commission Proposing To Open More Wireless Spectrum That Can Be Used For Faster Broadband Service From Space
Federal Communications Commission Proposing To Open More Wireless Spectrum That Can Be Used For Faster Broadband Service From
Why Is Applied Optoelectronics Stock Surging Tuesday?
Applied Optoelectronics Inc. (NASDAQ:AAOI) stock surged more than 9% Tuesday as fiber-optic stocks rallied following a major supply deal between Corning Inc. (NYSE:GLW) and Verizon Communications Inc.
Corning signs multi-billion-dollar long-term fiber optic contract with Verizon, as AI demand spills over from the chip layer to telecom operators
Corning has signed a multi-billion-dollar, ten-year fiber optic supply agreement with U.S. telecommunications operator Verizon, under which it will provide over 80 million miles of high-density optical fiber to support both residential broadband and AI data center backbone networks. Previously, Corning had secured substantial long-term contracts with Meta, NVIDIA, Amazon, and other major clients. Fiber optic demand for AI data centers is approximately 16 times that of traditional switches, and coupled with network upgrades by telecom operators, this is driving structural growth in fiber optic demand.
SA Analyst Upgrades/downgrades: DELL, BA, KO, HSY