In the past few months global equity markets rose on the hopes of an economic recovery. During that time crude oil prices also steadily increased. However in recent weeks crude oil prices have shot up strongly with the Greek economic crisis and the war on Iran taking center stage again. While an attack on Iran is highly unlikely this year the fear of disruptions to the global oil supply is causing oil prices to rise.

From an article titled Analysis: Oil price rise raises specter of global recession by Reuters:

(Reuters) – A jump in energy prices is jamming the slow-turning cogs of an economic recovery in the West, but that may be nothing compared to the economic shock an Israeli attack on Iran would cause.

Oil rose to a 10-month high above $125 a barrel Friday, prompting responses from policymakers around the world including U.S. President Barack Obama, watching U.S. gasoline prices follow crude to push toward $4 a gallon in an election year.

Europe may have more to fear as its fragile economic growth falters and Greece, Italy and Spain look for alternative sources to the crude they currently import from Iran, where an EU oil embargo, intended to make Iran abandon what the West fears are efforts to develop nuclear weapons, comes into force in June.

Oil stocks are performing well this year with the rise in gasoline prices. The following table lists the exchange-listed foreign oil industry-related ADRs with their year-to-date returns and current dividend yields:

[TABLE=1056]

Disclosure: Long PBR