If you put $10,000 into the Energy Select Sector SPDR Fund (NYSEARCA:XLE) on the last trading day of 2025 and forgot about it, you would be sitting on roughly $13,131 as of the June 8 close.
Energy Select Sector SPDR Fund (NYSEARCA:XLE | XLE Price Prediction) is having the kind of year energy investors waited two cycles for.
It's certainly no secret that the monthslong conflict in the Middle East has led to significant volatility for oil prices and energy in general. After all, with the Strait of Hormuz closed for months, oil prices have shifted up and down based on the latest headlines.
Key Takeaways: S&P 500 Energy has posted a record 14-week winning streak, the longest in the sector's history. XLE has attracted $6 billion in inflows over three months as investors seek energy exposure.
Energy risks remain elevated despite ceasefire hopes, with supply constraints likely to support prices. Here are some ETFs to watch.
The popular ETF that tracks the energy sector, The Energy Select Sector SPDR ETF NYSEARCA: XLE, hit a peak in late March, corrected in early April and may struggle to advance. The conspicuously large candle formed by the ETF price action is echoed in the underlying stocks, suggesting higher prices will be hard to come by.
WTI crude oil has crossed $104 per barrel, its highest level in the past 12 months, after a conflict between the U.S.
Oil supply pressure is set to intensify in April, with Strait of Hormuz disruption fears likely to push prices higher. Here are some energy ETFs worth a look.
Although the stock market has been under pressure in recent weeks as economic strains mount, the energy sector has emerged as the top performer in the first three months of 2026.
The Iran conflict triggered what may be the largest oil supply shock in history, with oil prices surging 39%. Now, the big moment may belong to the oil companies. Historical patterns suggest oil prices will likely retract in April, potentially falling to $80, though prices should remain elevated versus pre-war levels. This scenario benefits the shares of oil companies. Risks include a smaller safety margin and concentration of XLE.
The war in Iran has led to a surge in the price of oil recently. Officials in Iran warn that the price could hit $200 per barrel.
USO and other ETFs surge as the Middle East conflict disrupts the Strait of Hormuz, pushing oil above $100 and lifting profits across the global oil industry.