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Gold/Mining/Energy : Global Santa Fe (GSF) (formerly Global Marine) -- Ignore unavailable to you. Want to Upgrade?

To: Doug Skrypek who wrote (1320)	3/11/1999 1:21:00 PM
From: Robert Douglas	Read Replies (1) \| Respond to of 2282

I think you give the United States government much greater powers than it can possibly possess. And even if it did want to keep $10 oil, it also wants a recovery in Asia to pare down our large trade deficit. When Asia recovers there will be a renewed demand for oil that will drive up prices to the $18-$20 area. Above that, I believe OPEC will increase production in order to prevent a boom in drilling that would take away production from them. -Robert

To: Doug Skrypek who wrote (1320)	3/11/1999 1:24:00 PM
From: Ram Seetharaman	Respond to of 2282

Washington has left issues to the market itself! Oil issues took all the whacking they got till the end of last year! Now they are rebounding slowly as commodity prices firm and global slowdown ends. Even if oil hits $ 19 a barrel by summer market wouldn't get hurt at all! Even at $ 25 a barrel I don't foresee any noticeable inflation pressure. Same applies to natural gas prices which are quite low. The bottom line is improving for companies all across U.S! Increase in productivity, automation, low energy prices, introduction of competition and deregulation of electricity and natural gas markets at wholesale levels are all adding impetus. So the increase in oil prices will not hurt them - not this year and not in 2000 (the election year!). Interest rates will remain low. I don't foresee the 30 year treasury bond yielding over 6.25 % even by the end of 2000! So the bull market for companies like Helmerich and Payne (HP), Nabors and GLM should go well into 2000 IMHO!