09/05/2006

Big Bubbling Crude

Hello:

An alliance of oil companies announced today that they drilled and tested an enormous new oil field 270 miles southwest of New Orleans. If the estimated reserves of 15 billion barrels are confirmed by an additional well scheduled to be drilled in 2007, then that could raise the domestic current estimated reserves by 50%!

The presence of the new oil reserves might decrease interest in opening ANWAR to oil drilling and also might decrease interest in foreign oil reserves. Some analysts are suggesting that the price of gasoline might drop by as much as $0.25 this autumn. We hope they are proved right!

Nevertheless, keep an eye on Mid-East tensions. Increased unrest in that part of the world is the wildcard that might upset the equity markets.

Sunday, September 10th, is National Grandparents Day. The average age of a grandparent (47) was the average life span at the turn of the last century. Recognize the contributions made by a grandparent, maybe a donor who is a grandparent, this coming weekend!

Terri G. Millson, CIMA, CIMC President

Ray Dicius, CSA, GEPC LPL Branch Manager