Oil pumping jacks, also known as “nodding donkeys”, are reflected in a puddle as they operate in an oilfield near Almetyevsk, Russia, on Sunday, Aug. 16, 2020.
Andrey Rudakov | Bloomberg via Getty Images
JPMorgan is overweight on three energy stocks that it believes have found the perfect balance between oil and non-oil assets.
It comes at a time when energy market participants are increasingly concerned about the outlook for the global economy and fuel demand, due to surging coronavirus infections.
The coronavirus pandemic has preceded an unparalleled energy demand shock in 2020, and OPEC now believes rising cases will stall a demand recovery in 2021.
“What people don’t want is an aggressive pivot or an aggressive transition, they want to see the oil business flourish, but they also want to see renewables make money,” Christyan Malek, managing director and head of EMEA oil and gas research at JPMorgan, told CNBC’s “Squawk Box Europe” on Friday.