“Similarly, if the price of WTI crude oil can do the same and break above the $60 mark (which it neared in November), it would reflect further strength in the group and fuel another leg of the energy stock rally,” reports CNBC.
Some investors are growing weary of XLE. The ETF has seen $107.5 million in fourth-quarter departures. Year-to-date, XLE has added $512.4 million in new assets.
Dow components Exxon and Chevron, the two largest U.S. oil companies, combine for about 40% of cap-weighted energy ETFs, such as XLE, the Vanguard Energy ETF (NYSEArca: VDE), iShares U.S. Energy ETF (NYSEArca: IYE) and the Fidelity MSCI Energy Index ETF (NYSEArca: FENY).
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