Silicon Investor (SI) -- The First Internet Community

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 -- Ignore unavailable to you. Want to Upgrade?

To: Thean who wrote (10610)	2/4/1998 9:12:00 PM
From: debra vogt	Respond to of 95453

Thank you Thean, I appreciate your input. I have owned FLC before and sold all of my shares in Jan. for substantial profit. Bought in at $ll split adjusted. Also sold VRC for a profit, am just looking for a time to get back in. Fortunately, my present portfolio is mixed with enough tech that I had a very good day! Thanks again.

To: Thean who wrote (10610)	2/4/1998 9:19:00 PM
From: Teddy	Read Replies (1) \| Respond to of 95453

I guess this is suposed to be news. My little sister has move insight then this: Top Stories: Oil Service Stocks Jump By Mavis Scanlon Staff Reporter 2/4/98 7:13 PM ET Talk about role reversal: As the darling Dow struggled to hold steady Wednesday, oil service and driller stocks spiked. The Oil Service Index ticked quietly upward throughout the trading session, gaining 6.09, or 6.25%, to 103.57. Perhaps the spunk stems from several industry conferences going on this week. Execs are promoting their companies as well as the strength of the drilling and service industries going forward. One of the main indicators of that strength is the backlog in orders for equipment, from rigs to parts. There's an almost dire need of equipment, especially in the deepwater drilling niche. That may be contributing at least a bit of positive sentiment toward many of these companies, whose market capitalizations have been slashed on paper by thirds and halves since early November. Still, few are betting that this rally can be sustained with the price of crude oil still in negative territory. Crude futures for March delivery dropped another 12 cents Wednesday, to $16.37 per barrel. With the Iraqi arms inspection situation no closer to resolution and the oil-for-food deal basically spurned by Saddam Hussein, continued volatility in oil prices is the best that can be expected. The caveat in this case is a missile attack against Iraq. If it does indeed happen, there is almost no question that crude oil prices will spike higher. That's why money managers are not making too much of this move. "A one-day upsurge does not a rally make," says Erik Gustafson, portfolio manager of the Stein Roe Growth Stock fund. Gustafson's $623 million fund remains overweighted in the oil service sector, and although he has taken advantage of 20%, 30% and 40% discounts to add to positions in the stocks he likes, he thinks oil prices need to stabilize somewhat before the sector will see a sustained rally. In addition, any moves upward may be capped by profit-taking along the way. Investors who stuck with the drillers and service companies throughout the last three incredibly volatile months have suffered huge losses on paper, and may sell if their stocks have gained just a point or two to avoid getting burned again. I'm one of the "few that are betting that this rally can be sustained" and don't plan to "sell if their stocks have gained just a point or two to avoid getting burned again."