Small-cap Energy Stocks Are Enjoying Higher Oil Prices

Small-cap energy stocks have been riding on positive momentum since the start of this year, primarily due to improving oil prices. The Russell 2000 Energy index generated a year-to-date growth of more than 16%, outperforming the gain of 6% from the Russell 2000 index by a wide margin.

Analysts believe the Russell 2000 Energy index is likely to extend the rally to the second half of the year, driven by increasing oil prices and investments in growth opportunities from energy companies. Oil prices currently stand at the highest level since 2014 due to declining supplies and ...