| Oil and gas services exchange traded funds have soared 30% or more the past three months and a recent bullish note from Goldman Sachs is helping to drive the rally. Companies are simply flush with cash, which is raising prospects for higher dividend payouts.
“Following four quarters of sequential declines in North American drilling activity and oil service profitability, January is marking a turnaround in activity,” Goldman’s equity analysts wrote in a report. “Revenues/margins for North American service companies either bottomed in fourth-quarter 2012 or are expected to bottom in first-quarter 2013, marking a major inflection for the group.”.........................................Full Article: Source
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