Do oil stocks BP, Shell and Tullow Oil offer investment appeal?
It’s been a volatile year for oil stocks such as BP plc (LON:BP) (BP.L), Royal Dutch Shell Plc (LON:RDSB) (RDSB.L) and Tullow Oil plc (LON:TLW) (TLW.L). Fears about the prospects for the world economy seem to have weighed on investor sentiment towards the sector, with risks such as a trade war having the potential to weaken demand for oil. The latter point could become increasingly relevant over future years to my mind, and may help BP to adapt to what I feel could become an increasingly environmentally-conscious world economy. I think there are more appealing risk/reward opportunities for me elsewhere in the oil and gas industry, but I still think that in the long run Tullow Oil could produce impressive returns.