Oxford joined the Royals on a six-month loan deal during the January transfer window amidst a flurry of fanfare, given his rich potential.
But the 18-year-old, who was targeted by Arsenal, Manchester United and Liverpool before signing a new Hammers deal, has struggled for game time under Stam.
Oxford has made just two Championship appearances to date and posted a cryptic message on his official Instagram account last week, stating "sometimes you have to go back to go forward".
The quote has served to fuel speculation that the defender is unhappy at Reading but Stam has encouraged Oxford to discuss any grievances he may have via a conversation with his manager.
"I don't read any tweets from anybody," Stam told Get Reading. "If he is not happy then he should talk to me and not put tweets in the air.
"Then you see what happens - discussions keep on going and people are guessing what's going to happen.
"Everybody needs to be realistic in the position in where they are and what they can do.
"When he is in I will speak to him and we'll see how it goes."
Oxford retained his place in England Under-19s' squad for the recent international break, despite his lack of game time at club level.
But Stam has hinted the teenager will not feature against Leeds this weekend by stressing Oxford must understand that life in England's second tier is not the same as a Young Lions camp.
"Reece is a talented player and it's good he played with England Under-19s [during the international break].
"But there is always a difference in playing Under-19s and playing Championship games," Stam added.