Drilling For Bullish Opportunities With XES

Summary

  • Oil prices have fallen sharply, with WTI down 44% over the last 52 weeks.
  • The SPDR S&P Oil & Gas Equipment & Services ETF (XES) has a low valuation, reasonable fee, and general technical uptrend.
  • While the June through mid-August stretch can be volatile, I see upside potential with XES after what's been a tough first half compared to the S&P 500.
Oil pumps at sunset

ClaudioVentrella

Oil prices are down sharply over the last year. Recall mid-June 2022: Tensions between Russia and Ukraine were high, commodities were on fire, and prices at the pump had soared to $5 per share. It was a great time, though, for oil & gas companies.

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