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

To: Crimson Ghost who wrote (28281)	8/25/1998 10:26:00 AM
From: marc chatman	Respond to of 95453

Yes. Although I don't necessarily agree that analyst or investment bank downgrades are bearish indicators. It's not unusual to find firms which issue downgrades so they, or their clients, can buy at cheaper prices (similar to selling into upgrades). It's a little hard to say whether there is any relevance here, though. I believe we've had some instances in the last month or two where the sector has gone up on bad news, only to meet with another wave of selling after a day or two.

To: Crimson Ghost who wrote (28281)	8/25/1998 10:33:00 AM
From: Bucky Katt	Read Replies (2) \| Respond to of 95453

Low oil prices threaten global economies The good news: Crude oil prices remain stunningly low, helping keep gasoline prices cheap and inflation in check. The bad news: Low crude oil prices are triggering economic chaos and political instability in oil-producing nations. "This is one of the most dangerous geopolitical developments in the post-(World War II) era," says investment strategist Michael Metz of CIBC Oppenheimer. There are growing fears that serious financial problems hammering major oil exporters - Russia, Saudi Arabia, Venezuela, Mexico, even Norway - could spread to other nations and eventually end up on the USA's shores. "The real impact of this social and economic turmoil could be transmitted through a hyperactive, high-tech global financial system," says Pulitzer Prize-winning author and oil expert Daniel Yergin. "That's where the risk is." To avert a global economic meltdown that could spread to the USA, crude oil prices need to rise $2, to nearly $16 a barrel, and stay there, Metz says. Crude oil prices closed Monday at $13.64 a barrel in New York, about half what they were less than two years ago. At that level, unleaded gasoline can be bought for less than $1 a gallon across the USA. Three times this year, oil-producing nations have pledged to cut production. The pacts have included Mexico, Norway and the 11-member Organization of Petroleum Exporting Countries (OPEC). Saudi Arabia, Venezuela and Mexico meet again Friday. The pledges are aimed at reducing a global oil glut sparked by the Asian financial crisis, which dampened demand. Oil traders are skeptical because only two-thirds of the promised cuts have been made. Meanwhile, problems in oil-exporting countries worsen. Russia is still reeling from a political shake-up, sparked by last week's ruble devaluation and foreign-debt restructuring. Nearly half of Russia's exports are energy, mostly oil. In Norway, the world's second-largest oil exporter, the central bank raised a key interest rate 1 percentage point to 10% Monday in a bid to boost the sagging national currency. It was the seventh rate increase this year, including a rise of 1.5 percentage points Friday, which failed to fend off speculation against the krone. "We do not believe that current levels of prices would lead to political instability," says U.S. Energy Secretary Bill Richardson, who took office Monday. What the heck has he been smoking? --------------------------------------------------------------------------------