The SPDR S&P Oil & Gas Exploration & Production ETF (XOP) saw its shares fall significantly lower than other sectors in the S&P 500 during the 2018 correction.
While other sectors like technology and industrials were thriving before the correction, E&Ps held by XOP were suffering from exhausted budgets, lack of takeaway capacity (widening differentials), poor weather, and lower oil prices, a perfect storm of sorts.
However, many of the issues listed above are transitory for E&Ps and should be alleviated this year. Budgets have been refreshed with the advent of the new