If you want to see the definition of a roller coaster ride just pull up a chart of energy stocks or crude oil. The last few years have been marked with some pretty nasty and deep-reaching price swings. We had some of the best years for the sector ($110 per barrel oil, anyone?), followed by one or two of the worst. Boom was translated into bust.
After rebounding slightly, we could be right back in the thick of another downturn. And that, once again, is having some nasty effects on energy stocks. The broad-based Energy Select Sector SPDR Fund (XLE) is now trading at its lowest levels since President Trump was elected.
However, this dip could be a real opportunity for investors – even if it turns out to be prolonged. Today’s energy stocks are vastly different animals than those from even two years ago.
Find out dividend paying stocks in the basic materials sectors on our dedicated page here.