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Technology Stocks : EMC How high can it go? -- Ignore unavailable to you. Want to Upgrade?

To: GVTucker who wrote (11206)	9/22/2000 4:31:53 PM
From: John Carragher	Read Replies (1) \| Respond to of 17183

It is still difficult to see what it will do to New york harbor fuel oil prices. Where is the refinery capacity to refine this released oil. Usually this time of year they are already cut over to maximize fuel oil from the barrel. Most of the storage tanks for fuel oil are perhaps a great deal less than full. In the recent past oil companies have been hurt by storing large quantities of fuel in the summer ( summer fill) and then see the price drop. I expect there will not be much of a drop in heating oil prices this winter. imo

To: GVTucker who wrote (11206)	9/22/2000 4:47:35 PM
From: Gerald Walls	Read Replies (1) \| Respond to of 17183

If Saudi Arabia had excess capacity, they would have used it to keep prices closer to $30. It's in their on self interest. As it stands, last month OPEC couldn't even produce what the quotas were, much less cheat. At what levels are the non-OPEC countries such as Mexico and Norway producing? Do you think that Mexico's President-elect Fox might by more kindly disposed toward the US than the current administration? At the very least they may start pumping more oil to try to avert the traditional Presidental-transition economic crisis and currency collapse. About Saudi Arabia, according to the Cato Institute: cato.org [snip] Are these prices a mirage? Well, they're real enough, but they don't reflect underlying realities about the availability of oil. Although the Saudis are producing 8 million barrels a day at a cost of $1.50 a barrel, they were churning out 10 million barrels a day during the Gulf War and have the capacity to go as high as 16 million barrels a day if they wished, at no increase in marginal cost. While it's true that the rest of OPEC is producing at near capacity, OPEC is less a cartel than it is one dominant market leader — Saudi Arabia--and a collection of moderately influential followers. [snip]