3 Top Energy Stocks to Buy Right Now
Many investors had a rough go of it so far in 2022. Inflation and rising interest rates weighed on stocks, with the S&P 500 index down 17% year to date. But one industry is thriving despite this weakness: energy.
Since the start of the year, the Energy Select Sector SPDR ETF has bucked the trend and surged higher 59% thanks to higher oil and gas prices, leading to record profits for those in the industry. This year, energy companies raked in big profits, allowing those in the sector to pay down debt and reward shareholders with fat dividends.
Although energy stocks are up significantly, supply-related events could push oil prices even higher. The Biden administration recently ended its releases of 1 million barrels per day from the U.S. Strategic Petroleum Reserve. Additionally, further European sanctions on Russian oil will go into effect on Dec. 5, and the U.S. and other G7 members are looking to put a price cap on Russian oil -- all of which could disrupt supplies.
Source Fool.com
