Now get ready to get hit with a double whammy, Unleaded gas could remain high, now get ready for you gas heating bill to put more of a drag on your pocket book. Nat gas hit 10.00 this week, hello its the middle of summer wait till folks crank up their furnace. This is an energy crisis in the making, Bush ratings will fall even further. I am buying fire wood right now while its still 100 here in Dallas.
I've been long SJT and XEC in anticipation .. hasnt done much for me though. what else is worthwhile in this space?
Royalty trusts: http://mcdep.com/usrt50812.pdf Kurt Wulff estimates the exposure to natural gas for independent producers: XTO Energy - 82% Encana - 81% Burlington Resources - 72% Cimarex - 71% http://mcdep.com/MR50705.pdf Martin
I think a short oil / long natural gas play is worth watching. They are energy equivalent at a ratio of 5:1 between QM and QG. I was in at 8:1 and out at 7.5:1, now it's at about 6.75:1, I'm really kicking myself for exiting early. Martin