Investing.com - Financial Markets Worldwide

Energy ETF (IXC) Hits New 52-Week High

ByZacks Investment Research
Published 01/03/2018, 09:28 PM
Updated 10/23/2024, 11:45 AM
LCO
-0.20%
XLE
-2.08%

For investors seeking momentum, iShares Global Energy ETF (NYSE:XLE) IXC is probably on radar now. The fund just hit a 52-week high, and is up 20.5% from its 52-week low price of $30.34/share.

But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:

IXC in Focus

This fund offers exposure to energy companies that produce and distribute oil and gas from around the world. It has major holdings in American firms at 54%, while United Kingdom and Canada offer double-digit exposure each. The product charges 48 bps in annual fees from investors (see: all the Energy ETFs here).

Why the Move?

The energy corner of the broad investing world has been an area to watch lately as oil price saw a good start to the New Year, with the return of geopolitical risk in Iran and tightening supply. In fact, the first trading day of 2018 marked the strongest start for oil price since January 2014, with both West Texas Intermediate (WTI) and Brent opened trade above $60 per barrel. Brent has climbed above $68 per barrel at present for the first time since 2015 while WTI is currently above $62 per barrel. This has renewed confidence in the energy sector, setting the stage for a strong rally in the near term.

More Gains Ahead?

It seems that IXC might remain strong given a high weighted alpha of 10% and a low 20-day volatility of 9.62%. As a result, there is definitely still some promise for investors who want to ride on this surging ETF a little further.

Want key ETF info delivered straight to your inbox?

Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>

ISHARS-GLB EGY (IXC): ETF Research Reports

Original post

Latest comments

Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.