Is Oil Boosting Equity Indexes?


Dec. 4 2020, Updated 10:53 a.m. ET

US equity indexes

Between September 7 and 14, US equity indexes rose. Last week, the S&P 500 (SPY), the S&P Mid-Cap 400 (IVOO), and the Dow Jones Industrial Average (DIA) rose 1.2%, 1%, and 0.9%, respectively. Energy stocks form about 5.9%, 5.1%, and 5.2%, respectively, of these equity indexes.

Article continues below advertisement

Is oil boosting equity indexes?

Last week, US crude oil October futures rose 1.8%, while the Energy Select Sector SPDR ETF (XLE) rose 2%. XLE saw the highest rise among SPDR ETFs that break the broad market into subsectors. The rise in oil prices may have boosted these broad equity indexes, and could continue to do so. Last week, the Financial Select Sector SPDR ETF (XLF) fell 0.4%.

Energy ETFs

Last week, major energy subsector ETFs’ price metrics were as follows:

  • The VanEck Vectors Oil Services ETF (OIH) rose 4.4%.
  • The SPDR S&P Oil & Gas Exploration & Production ETF (XOP) rose 3.5%.
  • The VanEck Vectors Oil Refiners ETF (CRAK) rose 2.3%.
  • The Alerian MLP ETF (AMLP) rose 0.3%.

US crude oil prices’ rise may have boosted most of these energy ETFs last week.


More From Market Realist

    • CONNECT with Market Realist
    • Link to Facebook
    • Link to Twitter
    • Link to Instagram
    • Link to Email Subscribe
    Market Realist Logo
    Do Not Sell My Personal Information

    © Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.