Stock Picking Moment Arrives, Says Berry as Energy Fades

Ann Berry, founder of Threadneedle Ventures, declared that the current market environment is ripe for stock picking, adding that she is no longer seeking value in the energy sector. Speaking at a Bloomberg subscribers-only event in New York on June 2, Berry's comments come as investors reassess their exposure to energy stocks amid shifting macroeconomic conditions. The energy sector, which had been a standout performer due to supply constraints and geopolitical tensions, now faces headwinds from potential demand slowdowns and OPEC+ production decisions. Berry's pivot away from energy value plays reflects a broader sentiment shift among market participants who are increasingly selective in their investments.

For oil and gas traders, Berry's remarks underscore the importance of monitoring key market mechanisms. OPEC+ spare capacity remains a critical factor, with the group holding significant idle production that could be brought online to offset any supply disruptions. The Brent-WTI spread, currently reflecting differentials in quality and logistics, offers clues about regional supply-demand balances. Meanwhile, U.S. Strategic Petroleum Reserve levels have been drawn down to multi-decade lows, limiting the government's ability to intervene in case of price spikes. Crack-spread economics, which measure refining margins for gasoline and diesel, are being closely watched as seasonal demand picks up. China's marginal demand, a key driver of global oil consumption, shows signs of slowing amid economic uncertainty. Saudi-Russia coordination within OPEC+ continues to influence production quotas, while market structure—whether contango or backwardation—signals near-term supply tightness or surplus. As traders monitor these dynamics, NowPrice's live fuel dashboard provides real-time price data on crude, gasoline, and diesel to help identify emerging trends.

Looking ahead, market participants will watch for upcoming inventory reports from the U.S. Energy Information Administration and any signals from OPEC+ regarding output adjustments. Berry's comments suggest that investors may rotate capital from energy into other sectors, potentially weighing on crude prices in the near term. The stock-picking environment she describes could favor companies with strong fundamentals regardless of sector, as traders navigate a landscape shaped by evolving supply-demand fundamentals and policy decisions.