There Are A Number Of Reasons I Continue To Like The Energy Sector

The energy sector, led by XLE and RSPG, has outperformed US equities in 2026, surpassing both the S&P 500 and Tech. Supply-side constraints—declining US oil rig counts and low SPR levels—support a bullish outlook for oil prices and sector resilience. Rising 2027 earnings estimates and robust free cash flow growth position Energy as a structural, not just tactical, portfolio allocation. I maintain a bullish outlook on Energy, expecting continued sector momentum into late 2026 and 2027, supported by strong fundamentals.

The purpose of this article is to discuss my broader market outlook and the Energy sector in particular, which I view favorably right now.

I have rebranded to embrace my working-class and public school roots. This is a testament for how successful investing can be life changing.I have worked in Financial Services for over 15 years. I have a Bachelors in Finance, where I was a scholarship Division 1 athlete (tennis). After working in NY for three years, I relocated to North Carolina for my MBA and I am fortunate to split my time between Charlotte & Asheville.I keep my portfolio up-to-date and take pride in writing about funds, stocks, and sectors I actually invest in. I know my followers appreciate this approach.My strategy: Invest in quality, diversify, add at the right times, and focus on the long run. Chasing risk, trying to get "rich" quickly, or following advice you don't understand are all pitfalls I made. That experience was a great teacher and I hope to help others learn what I have along the way.

Broad market: DIA, VOO, QQQM / TDIV, RSPSectors/Non-US: XLE / IXC; IDU / BUI, FEZ, SCHF, BBCA, FLGB, EWJ, EWYMetals: CEF, SGOL, SLV, XMEStocks: JPM, MCD, WMT, MAADebt: Municipal bonds from NCI also contribute to the investing group CEF/ETF Income Laboratory where I specialize in macro analysis. Features of CEF/ETF IncomeLaboratory include: managed income portfolios (targeting safe and reliable ~8% yields) making use of high-yield opportunities in the CEF and ETF fund space. These are geared toward both active and passive investors of all experience levels. The vast majority of holdings are also monthly-payers, for faster compounding and steady income streams. Other features include 24/7 chat, and trade alerts. Learn more.