- Fade the weather-related rally in natural gas, says the team, as supply is set to surge. Indeed, the move higher from late December into early last week has already started to crumble. Above $3 early last week, nat gas sits at 2.8360 this morning.
- Among the other top predictions for 2018: There's downside risk to U.S. shale production growth thanks to operating challenges. Scale matters in exploration and production stock performance; the oil services earnings revision cycle moves flat-to-down in 2018, while the Oil Service Index (NYSEARCA:OIH) "treads water."
- More bullish calls: Pressure pumping stocks to outperform, and diversified refiners could outperform pure-plays.
- Source: Bloomberg's Arie Shapira
- ETFs: UNG, XLE, UGAZ, DGAZ, VDE, XOP, ERX, OIH, BOIL, ERY, DIG, BGR, GUSH, FENY, IYE, DUG, KOLD, DRIP, IEO, FIF, UNL, NDP, PXE, RYE, PXJ, CRAK, DCNG, FXN, DDG, NANR, GAZB, FTXN, JHME, ERYY, ERGF
- Now read: Valuation Dashboard: Energy And Materials - Update
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