We rated XLE (Energy Select Sector SPDR) our #1 Overweight for stagflation. Score: 92/100.
Top holdings: Exxon (22%), Chevron (16%), ConocoPhillips (8%).
Energy outperformed in every stagflation episode β 1973, 1978, 1980.
With oil at $108 and the largest supply disruption since 1973, energy has the strongest fundamental case of any sector.
So how do you express this view with defined risk?
On OptionsPlay, we overlay options strategies on our ETF ratings. For XLE with our highest conviction score, here's what a covered call setup looks like in practice.
Research β Score β Strategy β Defined risk.
Try OptionsPlay free β research strategy in one platform β
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