Expert: Energy’s Stock Market Boom Just the Start of a Supercycle

An energy supercycle bull market has just begun, an investment expert told Hart Energy, citing a global supply/demand imbalance and pointing to the outlook of legendary investor Warren Buffett.

This forecast from Matthew Iak, executive vice president of U.S. Energy Development Corp., comes as S&P Dow Jones sector indexes show energy enjoying a boom over the last year while the bulk of the market struggles.

And what’s not to like about oil and gas stocks? In the 12 months ending May 11, the S&P Dow Jones Energy Select Sector index boasted a giddy 53.8% net total return. By comparison, the health care and financial sectors delivered anemic returns, the financial (-9.2%) and industrial (-10.8%) sectors suffered setbacks, and the S&P 500 index shed 4.3%.