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Why Energy Could Have a Tesla-Like 2021


Oil pump jacks operate at dusk.
Apu Gomes/AFP via Getty Images
Energy stocks used to make up more than 10% of the S&P 500. But last year they fell below 3%. Some fund managers abandoned the sector altogether, given that it has underperformed the broader market consistently over the past decade. Why put 2% of your portfolio in energy, when you can just add another 2% of
That underweighting in energy, however, may suddenly shift in 2021, some analysts are predicting. Oil suddenly looks like a decent bet, given that Saudi Arabia has signaled that it will backstop the price by curbing production. U.S. producers, meanwhile, are being prudent with their cash. ....

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Exxon's on a 9-Day Winning Streak. Here's Why.


Exxon Mobil,
everything seems to be working out for the company in 2021.
As of Thursday afternoon, shares of Exxon (ticker: XOM) up more than 4% on the day were on track for their ninth consecutive gain. The stock has risen 22% in that period. It has gotten some help from regulators in recent days. A pipeline in the Permian Basin in which the company has a 30% stake won approval from the Federal Energy Regulatory Commission this week.
And Exxon is suddenly getting a warm welcome on Wall Street, raising the possibility that fund managers will give it another look. Analysts at both J.P. Morgan and Morgan Stanley are now urging investors to buy the stock. J.P. Morgan hadn’t raised its rating on Exxon to Buy since at least 2014. ....

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