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

To: marc chatman who wrote (12878)	2/26/1998 8:40:00 AM
From: JZGalt	Respond to of 95453

<<They just announced the Merrill downgrade on squawkbox at 8am.>> It's not that big of a deal (unlike their semiconductor downgrade a while back). They are trimming numbers 5-7% for 1998 and about the same on the 1999 numbers they have out. Some 1998 numbers are unchanged. They are concerned about smaller oilfields shutting down as well as a reduced estimate in natural gas drilling activity. Still bullish comments on the deep water drillers (DO and RIG) as well as those drillers expanding into this area (NE and GLM). Also mentioned RON's increasing exposure to deep water. The reality is there is nothing we haven't said on this thread already. Be concerned about the land drillers, but be carefully examining the deep water related issues for bargains when the whole group gets smashed. ---- Dave

To: marc chatman who wrote (12878)	2/26/1998 12:04:00 PM
From: Thean	Read Replies (2) \| Respond to of 95453

The drillers gapped up and managed to hold so far. There were people selling into strength as crude softened from its intraday high. If we can close on a positive note and so does crude, I expect a follow through tomorrow. However, tomorrow is Friday and oil traders may be too nervous to hold their tickets through the weekend. We will see. Ron - be corky. You should have a short term crude chart TA page. As far as I'm concerned, that is the only indicator I need to trade the drillers on these days. Lisa - maybe you should consider a trip to see Sadam to give him some personal energy investment lessons. Why bother with playing the cat and mouse game with the US? He could have raised more cash by playing the energy market.