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Gold/Mining/Energy : Strictly: Drilling and oil-field services

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To: ItsAllCyclical who wrote (82200)12/20/2000 3:24:14 PM
From: Brian  Read Replies (1) of 95453
 
JimL: "Does the phrase "risk/reward ratio" ring a bell?"
and "Natural gas prices have almost doubled but many natural gas play have remained flat."

So lets see here... risk for NG drillers is very low as shortages in NG should last for several years, but they have remained flat.

Gold on the other hand is in abundant supply,thus high risk of price never increasing, but gold stock's have advanced. IMO risk would be larger for them to start dropping again.

I don't quite get your reasoning.

Brian
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