Diversified Oil and Gas Holdings (DVFI)

[Imperial Whazoo]

Now this is ONLY my opinion but here it is:

I think that the moderate Arab states, as a "reward" to Bush for strongarming Israel to force them to stop their attacks in Lebanon, are "enabling" the pullbacks in resource prices on a temporary basis during the run up to the mid term elections. Thats the key.... they've made a value judgement that they'd rather see Bush do the best he can in the midterms because they fear what will happen if there are policies in the next 2 years that are more strongly in conformity to those of the Democrats. Its a close call (probably), with a lot of internal dissent amongst the various moderate Arabs, but, IMHO, it looks like the Saudi royal family has spoken and the interim policies are to create as favorable an environment for Bush as is possible in the run up to the midterm elections.

I have as much proof as any other ordinary guy sitting in his home in middle Amereica, but thats the way I see it for now.

Real crazy gyrations, though. The stimulus the oil sector has take will take several quarters to dissipate, so the balance sheets of oil companies will be really solid for the upcoming quarters....

And, if my theory is on target, we'll see increases in oil prices again post election.... or, if terrorism ramps up bigtime in the Middle East with the moderate states being the targets, we will see prices resume their climb. This is only a short term wave down IMHO, and I see it as very temporary... largely politically driven.

Imperial Whazoo