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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Grommit who wrote (24855)	9/19/2006 9:46:23 AM
From: Spekulatius	Respond to of 78751

Grommit, thanks for the link regarding crack spread. i notice the error, it seems i have taken old data. The crack spread has taken quite a dive during the last few weeks. Looks like we have been there before and i bet the crack spread will come back. Regarding CNX i realize that my earnings estimates are a tad high for CNX. Also CNX apparently owns.5% of CXG rather than 80%. Still i consider my investment thesis in CNX and VLO intact at this point.

To: Grommit who wrote (24855)	9/19/2006 9:59:17 AM
From: Brendan W	Read Replies (1) \| Respond to of 78751

When calculating Valero's crack spread should one not use a sour crude quote instead of "light crude"?

To: Grommit who wrote (24855)	9/19/2006 9:41:13 PM
From: 249443	Read Replies (1) \| Respond to of 78751

Grommit, just a fyi for those unfamiliar with the crack spread definition in general terms: Crack Spread: traderslog.com (1) In energy futures, the simultaneous purchase of crude oil futures and the sale of petroleum product futures to establish a refining margin. See Gross Processing Margin. (2) Calculation showing the theoretical market value of petroleum products that could be obtained from a barrel of crude after the oil is refined or cracked. This does not necessarily represent the refining margin because a barrel of crude yields varying amounts of petroleum products.