Comments on Fund My Mutual Fund: Mish's Take on July Employment Report

HrsIf that is your theory you want to go with RIG ...

2008-08-02T15:00:00.000-04:00

Hrs
If that is your theory you want to go with RIG since it has the most rigs built in the future along with more coming off old contracts.

I've written extensively on this group, you can use that box in the upper right margin to search on RIG, DO, ATW, PDE, GSF et al.

Nothing has changed in my thesis - only the markets infatuation with crude oil. Until crude reverses or stabilizes for a few weeks much of the complex is held hostage.

But the fact that the rigs are fully committed alr...

2008-08-01T18:28:00.000-04:00

But the fact that the rigs are fully committed already doesn't mean that it is too late to take a long position in the deep-sea off-shore drillers.

My criteria is the companies with the most newest rigs.

In a resource constrained market [not enough rigs to meet demand] rig unit rates are going to go hyper; and with high shadow unemployment labor cost increases will be contained;

net effect - huge jump in the bottom line [since these rigs are already fully amortizing at current rates].

just my take, what's your?

Thank You, Sir!

2008-08-01T17:27:00.000-04:00

Thank You, Sir!

RIG is the big oneATW, DO, or PDE are the next gro...

2008-08-01T16:19:00.000-04:00

RIG is the big one

ATW, DO, or PDE are the next group

I like NE as well but its not quite so deep sea

RIG bought GSF which was the other major player so it combined the 2 biggest into 1. Didn't leave much for everyone else.

When they lift the ban on offshore drilling they will look around and see they cannot get their hands on any deep sea drills for many years. Search the archives for Petrobras and you will see an entry on this about a month ago or two ago. They are securing much of the world's deep sea drillers.

Mark,could you name a few Drillers you like with g...

2008-08-01T16:09:00.000-04:00

Mark,

could you name a few Drillers you like with good international offshore drilling operations?

also, do you know or would you speculate on any company that might benefit from a hypothetical lifting of the ban on offshore Drilling by the Congress?

Definitely some number fudging going on. PPT at i...

2008-08-01T13:30:00.000-04:00

Definitely some number fudging going on. PPT at its finest.