London Daily

Focus on the big picture.
Thursday, Oct 16, 2025

Can Oil And Electric Vehicles Coexist In Modern Markets?

Can Oil And Electric Vehicles Coexist In Modern Markets?

Both EV stocks and oil stocks are rising in an increasingly irrational market, but while the electric vehicle industry is quickly developing, the oil industry is maturing quickly.
Although the novel coronavirus has wreaked havoc on many sectors of the global economy, leaving double the people unemployed in the United States as compared to February of last year, a rising long-term unemployed rate, and leading to more than eight million US residents slipping under the poverty line since the summer, the stock market continues to go gangbusters. In no sector is this more true than in the domain of electric vehicles, which have been hot — crazy hot.

Tesla alone gained over 700 percent in 2020 and received an extra boost from being admitted to the S&P 500, making Elon Musk a centibillionaire and even allowing him to eclipse Jeff Bezos as the richest man on Earth for a short stint. Indeed, green energy and EV stocks have been seeing record-breaking investments as Environment, Sustainability, and Governance (ESG) investing goes mainstream, and 2021 is set to be another great year for renewables in the stock market.

Much has been made of the admittedly heavily symbolic coincidence of Tesla, an electric vehicles company that has become emblematic of a more climate-friendly future, entering the S&P 500 just a couple of months after oil giant Exxon Mobil was dropped from the Dow Jones Industrial Average Index after nearly a century in the ranks of some of the most revered and stalwart blue chip companies in the world. It all pointed to a very tidy and sellable story line: fossil fuels out, clean and green energy in. onward and upward. But the reality, of course, is never so simple.

“A roaring bull market can make even contradictory ideas true, as both electric-vehicle and fossil-fuel investors could tell you,” leading financial and investment news outlet Barron’s reported this week. “The former is trying to displace the latter, but for now, both sectors are happily coexisting in the market.”

It’s true that oil stocks are not burning quite as bright as they once were, and that EV stocks are almost too hot to handle, but it’s way too soon to count fossil fuels out. This has been proven by the oil sector’s impressive bounce-back from the brutal hit that the 1Covid1-19 pandemic gave the sector. Less than a year ago, on April 20th, the West Texas Crude Intermediate benchmark plummeted to nearly 40 dollars below zero per barrel. They couldn’t give the stuff away. But now, as the global economy recovers and oil demand comes back, crude prices have risen to a 52-week high and European oil benchmark Brent Crude topped $60 for the first time since last year’s spectacular crash.

“More electric vehicles will eventually mean lower demand for oil,” Barron’s admits, but that transition won’t happen overnight.

Around the world, campaigns to replace gas-fueled cars with EVs are picking up speed, but a sweeping transition will require a lot of technological and infrastructure advances, and these things take time. The projected time that it will take, however, keeps contracting as more investors, world leaders, and industry leaders throw their weight behind the transition.

So while oil has recovered in the markets, it’s days are numbered. Many experts contend that peak oil is already happening as we speak, while it’s impressive that oil has managed to return to acceptable levels, it’s certainly not seeing the exciting kind of growth that the energy sector is.

“The Energy Select Sector SPDR ETF is up about one percent in premarket trading and has added 12 percent year to date, far better than the S&P 500’s 3.5-percent rise,” Barron’s reports.

“So EV or oil?” the article asks. “In a market overflowing with money, the answer is yes.”

While that may be true today, it certainly won’t be true for too much longer. Whether it’s for environmental reasons or purely economic reasons or both, investors and markets are making one thing clear: fossil fuels are still relevant for now, but EV and renewables are the way of the future.
Newsletter

Related Articles

0:00
0:00
Close
Yachts, Private Jets, and a Picasso Painting: Exposed as 'One of the Largest Frauds in History'
Australia’s Wedgetail Spies Aid NATO Response as Russian MiGs Breach Estonian Airspace
McGowan Urges Chalmers to Cut Spending Over Tax Hike to Close $20 Billion Budget Gap
Victoria Orders Review of Transgender Prison Placement Amid Safety Concerns for Female Inmates
U.S. Treasury Mobilises New $20 Billion Debt Facility to Stabilise Argentina
French Business Leaders Decry Budget as Macron’s Pro-Enterprise Promise Undermined
Trump Claims Modi Pledged India Would End Russian Oil Imports Amid U.S. Tariff Pressure
Surging AI Startup Valuations Fuel Bubble Concerns Among Top Investors
Australian Punter Archie Wilson Tears Up During Nebraska Press Conference, Sparking Conversation on Male Vulnerability
Australia Confirms U.S. Access to Upgraded Submarine Shipyard Under AUKUS Deal
“Firepower” Promised for Ukraine as NATO Ministers Meet — But U.S. Tomahawks Remain Undecided
Brands Confront New Dilemma as Extremists Adopt Fashion Labels
The Sydney Sweeney and Jeans Storm: “The Outcome Surpassed Our Wildest Dreams”
Erika Kirk Delivers Moving Tribute at White House as Trump Awards Charlie Presidential Medal of Freedom
British Food Influencer ‘Big John’ Detained in Australia After Visa Dispute
ScamBodia: The Chinese Fraud Empire Shielded by Cambodia’s Ruling Elite
French PM Suspends Macron’s Pension Reform Until After 2027 in Bid to Stabilize Government
Orange, Bouygues and Free Make €17 Billion Bid for Drahi’s Altice France Telecom Assets
Dutch Government Seizes Chipmaker After U.S. Presses for Removal of Chinese CEO
Bessent Accuses China of Dragging Down Global Economy Amid New Trade Curbs
U.S. Revokes Visas of Foreign Nationals Who ‘Celebrated’ Charlie Kirk’s Assassination
AI and Cybersecurity at Forefront as GITEX Global 2025 Kicks Off in Dubai
DJI Loses Appeal to Remove Pentagon’s ‘Chinese Military Company’ Label
EU Deploys New Biometric Entry/Exit System: What Non-EU Travelers Must Know
Australian Prime Minister’s Private Number Exposed Through AI Contact Scraper
Ex-Microsoft Engineer Confirms Famous Windows XP Key Was Leaked Corporate License, Not a Hack
China’s lesson for the US: it takes more than chips to win the AI race
Australia Faces Demographic Risk as Fertility Falls to Record Low
California County Reinstates Mask Mandate in Health Facilities as Respiratory Illness Risk Rises
Israel and Hamas Agree to First Phase of Trump-Brokered Gaza Truce, Hostages to Be Freed
French Political Turmoil Elevates Marine Le Pen as Rassemblement National Poised for Power
China Unveils Sweeping Rare Earth Export Controls to Shield ‘National Security’
The Davos Set in Decline: Why the World Economic Forum’s Power Must Be Challenged
France: Less Than a Month After His Appointment, the New French Prime Minister Resigns
Hungarian Prime Minister Viktor Orbán stated that Hungary will not adopt the euro because the European Union is falling apart.
Sarah Mullally Becomes First Woman Appointed Archbishop of Canterbury
Mayor in western Germany in intensive care after stabbing
Australian government pays Deloitte nearly half a million dollars for a report built on fabricated quotes, fake citations, and AI-generated nonsense.
US Prosecutors Gained Legal Approval to Hack Telegram Servers
Macron Faces Intensifying Pressure to Resign or Trigger New Elections Amid France’s Political Turmoil
Standard Chartered Names Roberto Hoornweg as Sole Head of Corporate & Investment Banking
UK Asylum Housing Firm Faces Backlash Over £187 Million Profits and Poor Living Conditions
UK Police Crack Major Gang in Smuggling of up to 40,000 Stolen Phones to China
BYD’s UK Sales Soar Nearly Nine-Fold, Making Britain Its Biggest Market Outside China
Trump Proposes Farm Bailout from Tariff Revenues Amid Backlash from Other Industries
FIFA Accuses Malaysia of Forging Citizenship Documents, Suspends Seven Footballers
Latvia to Bar Tourist and Occasional Buses to Russia and Belarus Until 2026
A Dollar Coin Featuring Trump’s Portrait Expected to Be Issued Next Year
Australia Orders X to Block Murder Videos, Citing Online Safety and Public Exposure
Three Scientists Awarded Nobel Prize in Medicine for Discovery of Immune Self-Tolerance Mechanism
×