Oil ETFs Power Higher With Rising Oil Prices

Some of the biggest oil ETFs have risen more than 20% since late June

Crude Oil Well

grandriver / Getty Images

Rising oil prices have boosted some of the biggest exchange-traded funds (ETFs) that track the price of crude, many of which have risen more than 20% since late June, the start of the current rally.

Key Takeaways

  • Rising oil prices have boosted the asset values of some of the biggest exchange-traded funds (ETFs) that track the price of crude.
  • The best-performing oil ETF, the ProShares Ultra Bloomberg Crude Oil ETF (UCO), which seeks to double crude oil's price gains, has risen almost 60% since June 28.
  • Crude oil prices have climbed to the highest level since November last year, with WTI crude approaching $90 per barrel.

Many of the biggest crude oil ETFs available to investors have risen as much as 30% since June 28, the last time the price of West Texas Intermediate (WTI) crude traded below $68 per barrel. The United States Oil Fund (USO), the biggest oil ETF with more than $1.5 billion in assets under management (AUM), has returned almost 30% since, while the iShares U.S. Oil & Gas Exploration & Production ETF (IEO)—the second-biggest oil ETF—has delivered 22% returns, according to YCharts data.

The best-performing oil ETF over this period has been the ProShares Ultra Bloomberg Crude Oil ETF (UCO), a fund that seeks to double the return of crude oil over a given period. It's risen almost 60% since late June, roughly double the rise in crude prices.

Among other large oil ETFs, the Invesco DB Oil Fund (DBO) has returned 28%, while the SPDR S&P Oil & Gas Exploration & Production ETF (XOP) has added 22%.

On the flip side, ETFs that aim to short the price of oil have declined considerably in value. The ProShares Ultra Short Bloomberg ETF (SCO), which inversely tracks oil prices, has shed almost 40% of its value.

Crude oil prices have surged in recent weeks due to OPEC+ production cuts and dwindling inventories in the U.S. The price of WTI crude—the U.S. benchmark—breached $89 per barrel yesterday for the first time since November 2022. That's up more than 30% from an intraday low of $67.05 per barrel on June 28. Rising oil prices have also helped power a rise in shares of energy companies, with the S&P 500 energy sector up 15% since late June.

Prices could climb higher still after Saudi Arabia announced last week it's extending its latest production cut—equal to 1 million barrels per day of supply—until December.

Select Oil ETF Performance


Do you have a news tip for Investopedia reporters? Please email us at
Article Sources
Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our editorial policy.
  1. USCF. "USO?United States Oil Fund."

  2. iShares by BlackRock. "iShares U.S. Oil & Gas Exploration & Production ETF."

  3. ProShares. "Ultra Bloomberg Crude Oil ETF (UCO)."

  4. Invesco. "Invesco DB Oil Fund (DBO)."

  5. State Street Global Advisors. "SPDR S&P Oil & Gas Exploration & Production ETF."

  6. ProShares. "UltraShort Bloomberg Crude Oil (SCO)."

  7. Yahoo! Finance. "Crude Oil Historical Prices (Jun 1, 2023 - Sep 12, 2023)."

  8. YCharts. "S&P 500 Energy (Sector)."

  9. Saudi Press Agency. "Saudi Arabia will extend the voluntary cut of one million barrels per day for three months to include October until the end of December 2023."

Take the Next Step to Invest
The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace.