With regards to the auto bail out, I believe the big 3 are faced with a test to try and come up with some sort of plan by the next hearing. I don't know if they are going to be given the money, but it does emply a lot of people and so seeing it go down wouldn't do anyone good. These companies haven't been doing that great though over the years, especially against european and asian cars. I don't know what type of plan they can come up with...so we'll let them have at that.
In regards to the tsx. Financials were hard hit today, because of TD coming out with some writedowns. The fact is, it was only $350M which really compares to other isn't that much. This is a storm they'll weather easily along with other Canadian banks. Energy brought us down the most. I would have never thought oil would drop $100 from it's high's to where we are now, but we are here. I understand demand is dropping, but there will be so many majors cutting production left right and center if this thing keeps up that we could see a supply shortage. Shale plays they said start to get caugh off a aroudnd $6, so that is coming up...don't know if we'll get there since winter is coming up. They said reserves went up 16bcf and if we get a cold winter, prices won't stay this low. But imo I believe this oil price has overshot.
The good thing for us is that NG prices don't need to be higher until 2010 and so forth (full production hopefully). As Obama takes the stage, I feel his love of cleaner energy and NG will be a boost for the future. It is a cleaning burning fuel and really the future, so that's important. Even at $6 prices, or economics would allow us to produce. That was one thing that Mr Binnion made clear was that Quebec could be produced at fairly low prices.
The interview was a good one in my books. You can tell that he had to becarefeul not to say anything that could come off as too important. God knows Forest won't say much lol. But, the fact that they asked him a question about how the next government in Quebec would affect them was good. That was the question of the show for his segment, and who would really care about that answer unless you were moving into a production phase. Just like bringing in Mr Boivin from Montreal...like why even bother with someone who knows nothing of oil and gas...there are so many more ppl qualified...but he's a big political and community leader in Quebec.
So no one can really say its happening or its not, but what I can say is something I've said all along, and it's that we're headed in the right direction. Our management was smart enough to raise the cash they did, smart enough to bring in major partners who are hungry for new production and our initial results have been stellar thus far.
Anywho, that was my rant for the day:P. Keep the faith ppl:).
Rocco
