Energy Sector XLE ETF

Energy Sector XLE ETF Amidst this backdrop of supply concerns, the forthcoming 2024 election year could incentivize the US to sustain high production levels to moderate crude prices and mitigate inflationary pressures. This strategy aligns with the latest Producer Price Index (PPI) data, which highlighted energy costs as a significant contributor to the lower-than-anticipated reading. The current backwardation in WTI crude futures, as depicted in the one-year curve, is expected to transition into a bearish contango as the front-month contracts begin to depreciate.