Home Logon FTA Investment Managers Blog Subscribe About Us Contact Us

Search by Ticker, Keyword or CUSIP       
 
 
 
Blog Home
 

  Short-Term Weakness may Provide an Attractive Entry Point for Investors in Energy ETFs
Posted Under: ETFs

After rallying for much of 2022, the energy sector plunged by over 20% from June 8th through July 14th as fears of a looming recession began to mount.  While volatility may continue in the near term, we believe selloffs may provide more attractive entry points for investors, particularly those that remain underweight energy stocks.  While we concede that a deep global recession could negatively impact demand for fossil fuels in the near term, we believe longer-term supply-demand dynamics, as well as geopolitical influences, will likely support relatively high prices for oil and natural gas, which may continue to fuel robust earnings for energy companies.  Moreover, despite relatively strong performance since the Fall of 2020, energy stock valuations remain historically cheap.

Click Here to continue reading.

Posted on Thursday, August 11, 2022 @ 11:45 AM • Post Link Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
Search Posts


 PREVIOUS POSTS
Asset Flows Monitor August 2022 Edition
Alternatives Update 2nd Quarter 2022
Closed-End Fund Second Quarter 2022 Review
Asset Flows Monitor July 2022 Edition
Asset Flows Monitor June 2022 Edition
Heightened Volatility Yields a Resurgence for Dividend ETFs
Asset Flows Monitor May 2022 Edition
Alternatives Update 1st Quarter 2022
Closed-end Fund Review - First Quarter 2022
Asset Flows Monitor April 2022 Edition
Archive
Skip Navigation Links.
Search by Topic
Skip Navigation Links.

 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
Follow First Trust:  
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2024 All rights reserved.