Fuel-Shortage Risks Make Investors Bullish on Energy Stocks, Survey Shows
Electricity and natural gas prices will drive global inflation if Russia chokes off flows of natural gas, survey respondents say.
Photographer: Asim Hafeez/Bloomberg
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Energy stocks and bonds are poised to get a fresh boost from investors positioning to benefit from the surging electricity prices and fuel shortages expected later this year.
Two-thirds of respondents to an MLIV Pulse survey -- which includes portfolio managers and retail investors -- plan to increase exposure to the sector over the next six months. They see electricity and natural gas prices driving global inflation and expect that Russia will choke off flows of natural gas to Europe, leading to shortages of key fuels this winter.