3 Energy ETFs Riding Oil’s Surge to 34%, 57%, and 113% Gains in 2026
The article details how three energy instruments – Energy Select Sector SPDR Fund (XLE), VanEck Oil Services ETF (OIH), and Permian Basin Royalty Trust (PBT) – have significantly benefited from WTI crude oil's surge. XLE offers broad energy exposure, OIH focuses on oilfield services companies and is more volatile, while PBT is a unique royalty trust providing income from aging Texas oil and gas properties, currently facing litigation. Each instrument provides different levels of risk, return, and exposure to the energy market.
How this was made
The 30-second read
Why it matters
The surge benefits energy ETFs and related stocks, but also introduces volatility and regulatory risks, especially for royalty trusts like PBT.
Market read
The energy sector is experiencing a bullish phase driven by oil price surges, with significant implications for investors and traders.
What to watch
Potential for a price correction in oil markets due to geopolitical developments or technological shifts towards renewable energy.
Background
Oil prices have surged by approximately 34%, 57%, and 113% in 2026, driven by geopolitical tensions, supply constraints, and increased demand.
Ticker impact
Moderate impact due to exposure to oil prices and current litigation risk.
Potential moderate increase in price, contingent on oil price stability and litigation resolution.
PBT's royalty income is directly linked to oil prices, which are surging. However, ongoing litigation introduces uncertainty, making the impact less predictable.
Market effects
Energy sector, especially oil and gas exploration, production, and royalty trusts, may experience increased investor interest and capital inflows.
Primarily affects North American energy markets, with potential ripple effects in global energy equities.
Moderate; rising oil prices influence global energy prices and related markets.
Counterpoint
Rising oil prices could lead to increased volatility and regulatory scrutiny, potentially impacting energy stocks negatively.
Key entities
- CommodityWTI Crude Oil
Benchmark crude oil price influencing energy markets.
- ETFEnergy Select Sector SPDR Fund (XLE)
Broad energy sector ETF providing diversified exposure.
- ETFVanEck Oil Services ETF (OIH)
Focuses on oilfield services companies, more volatile.
- Royalty TrustPermian Basin Royalty Trust (PBT)
Provides income from Texas oil and gas properties, facing litigation.
