Energy Sector Goes From S&P 500’s ‘Worst to First’ in 2025 Start

Gaining despite Wall Street’s dim outlook for oil and gas stocks

Energy is the star sector of the S&P 500 index in the early days of 2025, shaking off two consecutive years when it was a market laggard, and gaining despite Wall Street’s dim outlook for oil and gas stocks.

The S&P 500 Energy Index has gained 2.2 per cent this year, leading the S&P 500’s 11 sectors and outpacing the index’s 0.4 per cent rise.BTIG analyst Jonathan Krinsky said in a note that the energy sector has gone from “worst to first” thanks to notable strength in natural gas stocks, which are “showing clear leadership” as the commodity’s price bounces off multiyear lows. The First Trust Natural Gas ETF has climbed 3.8 per cent so far in 2025, posting stronger gains than the S&P 500’s broader energy gauge.
The moves mark a sharp reversal from the last two years, when, Krinsky notes, energy was “the only sector that was red” through 2023 and 2024, a stretch when the S&P 500 gained 53 per cent.The early gains have come even as Wall Street sours on the outlook for oil and gas stocks.

RBC Capital Markets on Wednesday downgraded the sector to market weight from overweight, with head of U.S. equity strategy research Lori Calvasina saying the bank’s analysts “have the most pessimistic assessment for energy at the global sector level.”

Bloomberg

Share This:


More News Articles

 

  • Related Posts

    US Says it Has Returned to Venezuela All $500 Million of Initial Oil Sale

    (Reuters) – The United States has now returned to the Venezuelan government all $500 million from the initial sale of oil that was part of a deal reached between Caracas…

    US Soon to Issue General License for Oil Production in Venezuela, Sources Say

    (Reuters) – The U.S. government is working to issue as early as this week a general license allowing companies to produce oil and gas in Venezuela, as Washington seeks to…

    Have You Seen?

    UK SAF start-up begins using green hydrogen in pilot plant

    • February 4, 2026
    UK SAF start-up begins using green hydrogen in pilot plant

    Private equity firm mulls sale in Samator Indo Gas

    • February 4, 2026
    Private equity firm mulls sale in Samator Indo Gas

    Solar Tech Weekly: Perovskite Breakthrough, Battery Safety Gains and More…

    • February 4, 2026
    Solar Tech Weekly: Perovskite Breakthrough, Battery Safety Gains and More…

    Washington Prepares Broad License to Restart Venezuelan Oil Production

    • February 4, 2026
    Washington Prepares Broad License to Restart Venezuelan Oil Production

    US Crude Oil Inventories Take Big Hits In Storm Aftermath

    • February 4, 2026
    US Crude Oil Inventories Take Big Hits In Storm Aftermath

    Trump Administration Greenlights Deepwater Texas Oil Terminal

    • February 4, 2026
    Trump Administration Greenlights Deepwater Texas Oil Terminal

    Equinor Reduces Share Buyback

    • February 4, 2026
    Equinor Reduces Share Buyback

    Spain energy terminal ready to supply ships with bioLNG

    • February 4, 2026
    Spain energy terminal ready to supply ships with bioLNG

    Exus Renewables Enters UK And Ireland With New Cambridge Office, Marking Major Step In International Growth Strategy

    • February 4, 2026
    Exus Renewables Enters UK And Ireland With New Cambridge Office, Marking Major Step In International Growth Strategy

    GameChange Solar Selected to Supply Trackers for 1,290 MWp Bisha Solar PV Plant in Saudi Arabia

    • February 4, 2026
    GameChange Solar Selected to Supply Trackers for 1,290 MWp Bisha Solar PV Plant in Saudi Arabia