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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club -- Ignore unavailable to you. Want to Upgrade?

To: Wally Mastroly who wrote (14587)	6/20/2000 9:35:00 AM
From: Justa Werkenstiff	Respond to of 15132

Wally: Re: "We believe everything OPEC says. They will immediately increase production significantly. The FED can stop worrying about energy costs. Our fuel/gasoline prices will be cut in half before year's end...<g>" Everything is looking good now as opposed to four weeks ago when the world was falling apart. Let's run this market up in the Fed.'s face to make our point. Why was the Naz worth 25% less four weeks ago? I forget. Just one of those things I guess. Why do we have about 30% to go before exceeding the old high? Boy, did we get up that high? I guess these huge trading bands are quite normal in the new casino -- oops, I mean the new economy. Huge volatility must be a sign of a healthy market filled with long term investors.

To: Wally Mastroly who wrote (14587)	6/20/2000 5:35:00 PM
From: Justa Werkenstiff	Read Replies (1) \| Respond to of 15132

Wally: Re: "We believe everything OPEC says. They will immediately increase production significantly. The FED can stop worrying about energy costs. Our fuel/gasoline prices will be cut in half before year's end...<g>" Yah, like any of this is predictable: Tuesday June 20, 5:27 pm Eastern Time U.S. crude soars on eve of OPEC output decision NEW YORK, June 20 (Reuters) - U.S. crude prices surged on Tuesday as members of the Organisation of Petroleum Exporting Countries (OPEC) gathered in Vienna for Wednesday's ministerial meeting to decide output policy. August crude oil on the benchmark New York Mercantile Exchange (NYMEX) ended $1.01 a barrel higher at $30.65 as supply concerns that at have pushed prices back towards post-Gulf War highs stayed at the fore. Members of OPEC were under pressure to raise exports for the second time this year to ease soaring crude prices. Saudi Arabia, the largest exporter, said on Tuesday that all options for an output increase were under discussion, although some members favour an increase of 900,000 barrels a day from July 1 in order to bring prices down, and replenish world oil inventory levels. The Clinton administration has said that an OPEC production increase, starting July 1, of about 1 million barrels a day would ease tight oil supplies and avoid any more oil output hikes this year, a U.S. government official said. The American Petroleum Institute on Tuesday said that U.S. crude stocks fell 4.4 million barrels last week to stand nearly 40 million barrels below last year. But the biggest worries in the U.S. still centred on gasoline prices which have risen to the highest levels on record. Retail prices last week were at least at a 10-year high of $1.68 a gallon on average. The Federal Trade Commission is already investigating if oil companies are gouging Midwest consumers, who pay more than $2 a gallon for cleaner burning reformulated gasoline. Midwest lawmakers will meet Wednesday afternoon with oil company representatives to get to the bottom of why the region's gasoline prices are the highest in the nation and if consumers are being gouged at the pump. Additional crude output from OPEC will not translate into a drastic reprieve at the pumps in the U.S. for at least six weeks, as oil analysts pinned overheated gasoline prices on refiners' inability to produce enough of the fuel. ``If we lost $5 (a barrel from crude prices) you would see a corresponding reduction in gasoline prices simply due to crude,'' says crude analyst Alan Struth of Houston-based Honeywell in Houston. ``But crude isn't necessarily the big problem at this point,'' added Struth, ``It's a tightness of the (gasoline) market, for a particular grade of gasoline particular key local markets.'' Also, not all members of the OPEC cartel are convinced of the need for an output increase. On Tuesday, Algerian Energy and Mining Minister Chakib Khelil said some producers were worried about the consequences of a possible OPEC output hike. ``Everybody is worried in general because the concern is that if there is enough stock and people are not buying now, then if you put in more crude it will just create a situation which will be very bad for prices,'' Khelil said. In addition, Qatar Oil Minister Abdullah al-Attiyah said on Tuesday he did not see a shortage of crude in the market at present. Meanwhile, oil and gas company shares were mostly down amid a drop in the Dow Jones industrial average of 123 points, or 1.2 percent, at 10,435 in late afternoon trade. The S&P International Oil Index(^SPOILI - news), fell 7 points, or 0.7 percent, to 990. The shares of two of the leading U.S. major oil companies posted losses -- Exxon Mobil Corp.(NYSE:XOM - news) was down 13/16 at 83-3/4, Chevron Corp.(NYSE:CHV - news) fell 1-1/8 at 90-1/4, while Texaco Inc.(NYSE:TX - news) was up 5/8 at 56-7/8, all trading on the New York Stock Exchange.