“Exploration-and-production stocks — many of which are among XOP’s top holdings — have been some of the worst performers since Harvey. The shares of XOP were last seen 0.2% lower at $29.53, set for a second straight down day, and earlier fell as low as $29 — within striking distance of their Aug. 21 annual low of $28.69. Since touching an annual high of $44.97 in mid-December, it’s been a channel of lower highs and lows for XOP, led into the red beneath its 10-week moving average,” according to Schaeffer’s Investment Research.
Data suggest September is usually unkind to XOP and DBO.
“Looking ahead, things could get even rougher for XOP, if history repeats. Since inception, the ETF has lost an average of 2.6% in the month of September, according to Schaeffer’s Quantitative Analyst Chris Prybal, marking its worst month of the calendar year,” according to Schaeffer’s. “DBO has averaged a September loss of 2.2% since inception, though its worst months are typically January (down 3.4%, on average) and July (down 2.9%, on average). What’s more, DBO has been one of the worst ETFs to own in the second half of the year, and has averaged a loss in every single month from July to December.”
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