Correlations of natural gas–weighted stocks
WPX Energy had the lowest correlation with natural gas prices in the past five trading sessions, as we discussed in the previous part. In the next part, our focus will be on the returns of these natural gas–weighted stocks.
All of these natural gas–weighted stocks with at least 60.0% production mixes in natural gas have been taken from the SPDR S&P Oil & Gas Exploration & Production ETF (XOP).
The natural gas–weighted stocks that might deviate from oil’s movement, according to the correlations with natural gas prices in the last five trading sessions, are:
- Southwestern Energy (SWN) at 27.7%
- EQT (EQT) at 11.9%
Southwestern Energy had among the highest correlations with natural gas, as we discussed in the previous part.