• 3 minutes War for Taiwan?
  • 7 minutes How China Is Racing To Expand Its Global Energy Influence
  • 10 minutes Is it time to talk about Hydrogen?
  • 1 hour U.S. Presidential Elections Status - Electoral Votes
  • 3 hours “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 6 hours Tesla Semi
  • 2 hours WTI / ​​​​​​​Price Forecasting 
  • 10 hours Mail IN Ballot Fraud
  • 18 hours “Did Authorities Do Enough To Find Out Why Oil Prices Went Negative?” By Irina Slav – Nov 26th
  • 7 hours “Consumers Will Pay For Carbon Pricing Costs” by Irina Slav
  • 2 days Biden's Green New Deal- Short Term - How Will He Start to Transition Out Of Crude?
  • 2 days America Could Go Fully Electric Right Now
  • 4 hours Russia loses its chance to capture the EU gas market
  • 18 hours Deceptions Revealed about the “Nord Stream 2 Pipeline” and Germany
  • 2 days Saudi Arabia Seeks to Become Top Hydrogen Exporter

Breaking News:

Goldman Sachs Sees Oil Hit $65 In 2021

Editorial Dept

Editorial Dept

More Info

Premium Content

This Oil Major Is Set To Outperform

Just over a year ago, I wrote a piece suggesting that energy investors should rethink their view of the big, integrated multinational oil firms. The Chevron (CVX)s and Exxon (XOM)s of this world, I argued then, would likely be held back for a while by the very thing that had benefited them for so long, their international exposure. That, however, doesn’t mean that they should be ignored completely. Even if their role as “safe” investments is under pressure, there are still opportunities for short-term gains in big oil, and the biggest of them all, Exxon Mobil, is a case in point right now.

There are both technical and fundamental reasons to believe that XOM, an underperformer even in the generally underperforming energy sector, is about to reverse that trend. Let’s start with the fundamentals, as those influences are more impactful and longer-lasting.

International exposure had become a drag on Exxon because global growth was under pressure. China was slowing and feeling the effects of the trade war and Europe was moribund at best. The U.S. economy, meanwhile, was easily outpacing those of other developed nations. With phase one of a trade deal agreed on and Europe beginning to pick up now though, those factors will weigh less.

In addition, the spread between the global Brent benchmark and the American WTI has started to increase over the last few weeks and looks set to continue to do so. It is now clear that the OPEC+ output limits…





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News