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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: The Perfect Hedge who wrote (7165)	1/8/1998 7:26:00 PM
From: bw	Respond to of 95453

When to bail and when to sail...that's the question. The news is almost all really good, except for recent oil prices and oversupply, from the fundamental side. However, what is having a large influence in determing the value in these stocks is the forward PEs. When one can buy into stocks with unlimited growth potential [INTC @18xPE] for similar PEs, than the drillers have some serious competition* for investment dollars. The only way that I can see sustainable forward PEs in the double digits for the drillers is through consolidation/mergers; just like in the whole economy. Those companies that want to rule the roost into the future will be the ones that will justify & maintain the higher PEs... FLC,DO come to mind among the drillers... This market is creating some serious takeover candidates, as was mentioned in the releases yesterday about the [gas] E&Ps.. *Also...look at the numbers on TX, and the dividend...

To: The Perfect Hedge who wrote (7165)	1/8/1998 7:31:00 PM
From: MonsieurGonzo	Read Replies (1) \| Respond to of 95453

Glen; RE:" XOI.X & OSX.X " The oil thread and myself would love to hear your thoughts on the osx if you get a chance. GD Yesterday's Hammer failed confirmation today - however the support at OSX.X ~99 is still intact, though barely. XOI.X looks weaker, and CL98H oil futures indicate that the price of oil will continue to go down. Note CEX.X is nearing support at ~439 in a similar fashion. I am buying the hell out of NHY at this level, FWIW. Else I have no other positions in this sector at the present time. I'm compiling a larger database model of the Driller, Machinery & Equipment, and Services sub-sectors of the OSX.X with my cybertrader friends, and will post the F/A and T/A when there is something to show. In the meantime... Message 3125283 -Steve