Short sellers marginally raise bets against energy stocks in August

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Short sellers marginally increased their bets against oil and gas stocks in August, with short interest in the energy sector reaching 2.21% compared to 2.18% in the month-ago period.

The short bets, where traders sell borrowed shares of companies intending to repurchase them later at a lower price, decreased to 446.16M in August from 438.83M in July.

Crude oil futures (CL1:COM [https://seekingalpha.com/symbol/CL1:COM#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]) dropped 5.2% in August, compared to a 3.6% fall in the corresponding period in the previous year.

The S&P 500 Energy sector (NYSEARCA:XLE [https://seekingalpha.com/symbol/XLE#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]) rose 5.6% in August, compared to a 3.6% gain in the S&P benchmark index (SP500 [https://seekingalpha.com/symbol/SP500#hasComeFromMpArticle=false#source=section%3Amain_content%7Cbutton%3Abody_link%7Cfirst_level_url%3Anews]).

MOST SHORTED S&P 500 ENERGY STOCKS AS OF AUGUST-END

* APA Corporation (APA [https://seekingalpha.com/symbol/APA]) 11.85% vs 11.26% in the prior month.
* Texas Pacific Land (TPL [https://seekingalpha.com/symbol/TPL]) 7.06% vs 7.05%.
* Diamondback Energy (FANG [https://seekingalpha.com/symbol/FANG]) 4.47% vs 5.13%.
* Valero Energy (VLO [https://seekingalpha.com/symbol/VLO]) 3.89% vs 4.10%.
* Occidental Petroleum (OXY [https://seekingalpha.com/symbol/OXY]) 3.87% vs 3.48%.

LEAST SHORTED S&P 500 ENERGY STOCKS AS OF AUGUST-END

* Chevron (CVX [https://seekingalpha.com/symbol/CVX]) 0.89% vs 0.92% in the prior month.
* The Williams Companies (WMB [https://seekingalpha.com/symbol/WMB]) 1.02% vs 1.18%.
* Exxon Mobil (XOM [https://seekingalpha.com/symbol/XOM]) 1.11% vs 0.86%.
* ConocoPhillips (COP [https://seekingalpha.com/symbol/COP]) 1.31% vs 1.39%.
* Targa Resources (TRGP [https://seekingalpha.com/symbol/TRGP]) 1.75% vs 1.90%.

INDUSTRY ANALYSIS

_Average short interest as a percentage of floating shares_

Oil and Gas Exploration and Production was the most shorted industry within the sector, with 3.32% short interest as of August-end, down from 3.41% as of July-end.

Integrated Oil and Gas was the least shorted industry within the energy sector, with 1.42% short interest as of August-end, compared to 1.23% at the end of July.

MORE ON THE ENERGY SELECT SECTOR SPDR® FUND ETF

* XLE Still Primed For Breakout [https://seekingalpha.com/article/4817464-xle-etf-still-primed-for-breakout]
* Kinder Morgan Is A Better Energy Bet Than XLE [https://seekingalpha.com/article/4815961-kinder-morgan-better-energy-bet-than-xle]
* XLE: Still Has Value, Could Be Volatile, Don't Expect Much Either Direction [https://seekingalpha.com/article/4805621-xle-still-has-value-could-be-volatile-dont-expect-much-either-direction]
* Russian fuel exports slide as drone strikes cripple refineries [https://seekingalpha.com/news/4494161-russian-fuel-exports-slide-as-drone-strikes-cripple-refineries]
* U.S. average pump price seen sliding to $2.90/gallon next year, EIA says [https://seekingalpha.com/news/4493559-us-average-pump-price-seen-sliding-to-290gallon-next-year-eia-says]