Why Aren't Drillers Keeping Up With Oil?
While no one has been anywhere near perfect on being able to predict where oil prices are heading, one thing had been steady: the relative performance of oil prices and the prices of underlying oil stocks. For investors trying to capture rising oil prices, it had been a reliable correlation.
But, recently, that hasn't been the case. While oil has tracked very well to the underlying stocks of oil exploration and production companies -- the ones that make up the ubiquitous Energy Select Sector SPDR (XLE), companies like Exxon Mobil (XOM), ConocoPhilips (COP) and Chevron (CVX) -- oil services companies just haven't kept pace. I believe there is a fantastic opportunity here, because one of them -- either oil or the oil services stocks -- has to be wrong....441 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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