The oil and petrochemical sector showed strength with fluctuations today (May 28). Huabao's Oil ETF (159019), which provides one-click exposure to the entire oil and gas industry chain, traded near the flat line in the morning session before experiencing a sudden surge in the afternoon. As of this report, its on-exchange price has risen by 1.07%.
Among the constituent stocks, shares in sectors like natural gas and oil exploration led the gains. As of this report, Xintian Green Energy rose over 6%, Jereh Group rose over 5%, while Zhongman Petroleum, Heshun Petroleum, and Guanghui Energy each rose over 4%.
Ping An Securities believes it is difficult for the U.S.-Iran negotiations to reach a quick agreement in the short term, as significant differences remain between the two sides on issues such as the Strait of Hormuz. Furthermore, the U.S. continues its maritime blockade against Iran, and Iran maintains control over the Strait of Hormuz, where current traffic volume is far below normal levels. The tightening of global oil supply is still unfolding. The crisis for energy and chemical supplies may not be resolved in the short term, making it difficult for oil and chemical product prices to return to pre-conflict levels.
CITIC Securities believes the market may be underestimating the short- and medium-term upside risks for oil prices. In the short term, on one hand, the Strait of Hormuz has been closed for several weeks, forcing more oil wells to shut down. Prolonged shutdowns could lead to permanent damage to some production capacity. In the long term, against a backdrop of low capital expenditures, the number of drilled but uncompleted wells and new drilling rigs in the U.S. has repeatedly hit new lows. This also suggests that the high level of U.S. crude oil production is unsustainable. Future surplus supply and pricing power are expected to be in the hands of the Middle East.
Looking ahead, China Galaxy Securities believes the current crude oil market remains focused on the evolution of the geopolitical situation in the Middle East. It is recommended to closely monitor the progress of U.S.-Iran negotiations, the traffic situation in the Strait of Hormuz, and the operational status of Iran's oil production facilities. It is advised to continue focusing on targets in oil and gas, coal-to-chemicals, and light hydrocarbon chemical sectors.
For one-click exposure to the entire oil and gas industry chain and to capture the dividends of the energy security era, focus on Huabao's Oil ETF (159019). Huabao's Oil ETF (159019) tracks the CNI Oil & Gas Index. Its portfolio of constituent stocks provides one-click coverage of 50 A-shares across related fields of the petroleum and natural gas industry, including exploration and development, equipment and services, and gas transmission, distribution, and sales. The "three oil giants" account for nearly 40% of the portfolio.
Note: For fee details, please refer to the respective fund's legal documents. Source: Shanghai and Shenzhen Stock Exchanges, etc., as of May 28, 2026. Reminder: Recent market volatility may be significant. Short-term gains or losses do not predict future performance. Investors must make rational investment decisions based on their own financial situation and risk tolerance, paying high attention to position sizing and risk management.
Risk Disclosure: Huabao's Oil ETF passively tracks the CNI Oil & Gas Index. The base date for this index is December 31, 2002, and it was published on December 30, 2014. The composition of the index's constituent stocks is adjusted according to its compilation rules, and its back-tested historical performance does not predict the index's future performance. Individual stocks mentioned in this article are solely for the objective presentation and listing of index constituents and do not constitute any stock recommendation, nor do they represent the investment direction of the fund manager or the fund. Any information appearing in this article (including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, any form of expression, etc.) is for reference only. Investors are responsible for any independent investment decisions. Furthermore, any views, analyses, or forecasts in this article do not constitute investment advice of any form to the reader, and no responsibility is assumed for any direct or indirect losses arising from the use of this content. Investors should carefully read the Fund Contract, Prospectus, Fund Product Key Facts Statement, and other fund legal documents to understand the fund's risk-return characteristics and choose products suitable for their own risk tolerance. The past performance of a fund does not predict its future performance, and the performance of other funds managed by the fund manager does not guarantee the performance of this fund. According to the fund manager's assessment, the risk rating of Huabao's Oil ETF is R3-Medium Risk, suitable for Balanced (C3) and above investors. The suitability matching opinion is subject to the sales institution. Sales institutions (including the fund manager's direct sales channels and other sales institutions) conduct risk assessments of the above fund according to relevant laws and regulations. Investors should promptly pay attention to the suitability opinions issued by the fund manager. Suitability opinions from various sales institutions may not necessarily be consistent, and the fund product risk rating results issued by fund sales institutions shall not be lower than the risk rating results made by the fund manager. The description of the fund's risk-return characteristics in the fund contract and its risk rating may differ due to different consideration factors. Investors should understand the fund's risk-return situation and choose fund products prudently based on their own investment objectives, horizon, experience, and risk tolerance, bearing the risks themselves. The China Securities Regulatory Commission's registration of the above funds does not indicate a substantive judgment or guarantee of their investment value, market prospects, or returns. Fund investment involves risks.
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