Why Oil Stocks Are Lagging Behind Soaring Crude Oil Prices

Over the past couple of months oil markets have been on fire, with oil prices gaining 30% since June after Saudi Arabia and Russia announced they would extend their production cuts and exports. The cuts have proven to be pretty effective, with commodity analysts estimating that global markets could be currently facing a deficit of as much as 3 million barrels per day. This implies that the rally is in-line with market fundamentals, unlike the previous situation where market sentiment was extremely bearish despite early signs of tightening supply.…