Brent crude oil flowed upwards today as the future of the Iran war remained uncertain. Despite President Trump’s assertion that talks between the U.S. and Iran had been “productive”, Iran, at least, publicly, did not seem ready to lay down its drones and missiles just yet.
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Brent crude was up 1.79% to $101.72 in late trading.
“The apparently less than warm Iranian response to US overtures, the countries’ own seemingly incompatible demands and reports of fresh strikes on its Bushehr power plant are all helping to push oil prices back above the $100 per barrel mark – which really gets market alarm bells ringing,” said Dan Coatsworth, head of markets at AJ Bell.
With oil prices still on the rise then, let’s look at two oil and gas ETFs from our Best Oil and Gas ETFs list, which are likely to continue benefiting.
ProShares UltraShort Oil & Gas (DUG)
It is a strategically designed exchange-traded fund (ETF) that offers investors a unique opportunity to capitalize on the inverse performance of the oil and gas sector. Categorized under the energy sector, this ETF specifically targets the oil, gas, and consumable fuels niche, providing a powerful tool for those looking to hedge against or profit from declines in this volatile industry.
With its focus on shorting the oil and gas market, this ETF not only serves as a potential hedge against rising energy costs but also offers the possibility of significant returns during periods of negative sentiment or declining prices in the oil and gas markets.
It was up by 0.14% today, although it is down 48% over the last three months.
Invesco Dynamic Energy Exploration & Production ETF (PXE)
It is a specialized investment vehicle that offers focused exposure to the energy sector, specifically targeting the oil, gas, and consumable fuels niche. This ETF is designed for investors seeking to capitalize on the dynamic and often volatile landscape of energy exploration and production. The fund leverages a smart, dynamic approach to select stocks that demonstrate strong fundamentals and growth potential, ensuring that investors are positioned to benefit from both traditional and emerging trends within the energy market.
It is up 0.57% today and is 39% higher in the last three months.
You can access a whole range of ETFs via the TipRanks Compare ETFs page.