Why Occidental Petroleum Stock More Than Doubled in the First Half of 2022
Shares of Occidental Petroleum (NYSE: OXY) rocketed upward by 103.1% in the first half of 2022, according to data provided by S&P Global Market Intelligence. That's a particularly impressive showing considering that the S&P 500 was down almost 21% during that period.
Oil prices soared in the first half of 2022. The U.S. oil price benchmark, West Texas Intermediate crude, jumped almost 41%, while the global benchmark, Brent, surged nearly 48%, with both topping $100 a barrel in the first half. That was Brent's best start to a year since 2009.
Several catalysts have helped drive oil prices skyward this year. The industry has significantly underinvested in new supply since the pandemic began. The supply shortage worsened when Russia invaded Ukraine, after which much of the world imposed sanctions on Russia's energy exports. That left nations scrambling to replace Russian oil. Meanwhile, demand has improved sharply as pandemic-related travel restrictions have eased.
Source Fool.com
