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

To: ldo79 who wrote (40640)	3/23/1999 9:00:00 AM
From: JungleInvestor	Respond to of 95453

Tonight's API report will most probably show a continuation of the big drawdown in distillates due to the cold La Nina weather in the midwest and northeast last week (refineries switched production some time back from heating oil to gasoline). This should pretty much eliminate the large overhang in winter heating oil that existed just a few weeks ago. Look for this to be the catalyst for a further rally tomorrow as investors see the "glut" disappearing even before the OPEC cuts kick in. It seems to me that as imports to the US are reduced to due OPEC cuts, crude inventories should be drawn down rapidly in the coming months due to the huge amount of shut-ins and reduced capex spending. Incredible how quickly the OSX turned around from the most out-of-favor sector to one being recommended by an increasing number of analysts. The Rodney Dangerfield Oil Patch is finally getting some respect.