Strictly: Drilling and oil-field services Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: waverider who wrote (40269)	3/18/1999 8:15:00 AM
From: SargeK	Read Replies (3) of 95453

World Markets react to Saudi Production Cuts I just posted the following on the YAHOO clubs Investors Business Daily Investment new message board (Founder: David Cooper) "World markets react to Saudi Arabia Production Cut SargeK (M/Tyler, Tx) Mar 18 1999 8:03AM ST quote.yahoo.com (scroll to Asia/Pacific) Saudia Arabias' announcement to cut sale by 12% and daily production by 580k barrels on Apr 1 provided a shock which quickly traveled around the world. By taking the leadership role, The world's largest producer signaled the other exporters that the time for action had arrived. The Philadelphia ^OSX Index and the S&P500 will be headed toward equilibrium with the oversold OSX continuing its thrust upward and the overbought S&P500 beginning its overdue correction, probably - TODAY. osxstocks.com (all the charts are interesting; however, it is the 800 day chart which merits immediate attention) Institutional favorites SLB and HAL will continue their advance today leading the entire sector. For us small investors I continue to favor RIG and NE, among the drillers; but my favorites are three fabricators FGI, GIFI and UFAB. During the worst depression in crude oil prices in decades, these three companies not only weathered the storm but have achieved impressive growth . There is a lesson to be learned here. Management of these 3 share a common conservative philosophy, that is an avoidance of long term debt and growing their companies through earnings. By being debt free they were able to make acquisitions at bargain basement prices and take advantage of the situation instead of being victimized by it. SUMMARY: It appears some have forgotten how much the health of the U.S. economy is dependent on energy prices. The period of disinflation is ending. The export/import imbalance set an all time record last year. With the U.S. currently importing 60% of its crude and with the price of that commodity exploding, the result is a no brainer.. Domestic production has been decimated in the past year and one half with guestimates of lost production ranging from 600k to 1m barrels per day (bpd). There is much more to this story, but in the interest of brevity.........." SargeK

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next