Oxfords are the ultimate formal dress shoe: Designed with sleekness and elegance in mind, they make an ideal pairing with fine tailoring and suits.
The closed-lace design that defines an oxford is stylistically "dressy," and they are therefore best styled with formal or semi-formal outfits.
Dressing down oxfords to wear with denim is certainly possible, but is more easily done with oxfords that lean informal, thanks to details such as rounded lasts, textured or suede materials, and more casual colors such as brown or blue.