BMO says Buy Oil Service StocksdAn outlook from BMO Economics on Nov 24/06 predicted that the oil and gas services sector will again be the fastest growing part of Canada's economy through 2006-07, with average annual growth of 9.7 per cent.
"While down from their earlier exaggerated highs, prices for oil and natural gas are projected to remain relatively elevated during the next two years," said Earl Sweet, assistant chief economist of BMO Financial Group.
Oil is currently over $60 and nat gas is $7.75.
A NOIA report yesterday stated that El Nino is now much stronger than earlier forecast, with the consequent that the fall and winter of 2006/7 are expected to be much colder...