This week, five of XLE’s top-10 holdings report third-quarter results. That quintet includes Dow components Exxon Mobil (NYSE: XOM) and Chevron (NYSE: CVX) along with ConocoPhillips (NYSE: COP), the largest U.S. independent oil and gas producer. That trio combines for over 37% of XLE’s weight.
Earlier this month, Estimize data showed investors were expecting the energy sector to deliver the best EPS growth, but the worst revenue growth among the S&P 500 sectors.
Professional investors appear to be displaying concern about the chances of upside earnings surprises by the energy sector. From Oct. 17 through Oct. 23, nearly $966 million was pulled from XLE.The bulk of those outflows were seen late last week because as of Oct. 21, XLE had pulled in almost $1.1 billion this month, making it one of the top-10 ETFs for fourth-quarter inflows and by far the best sector ETF by that metric. [Buying the Energy ETF Pullback]
Energy Select Sector SPDR
