Western Refining (WNR 19.14) is being whispered as a takeout. If it is, it wasn't advertised in the options market. But the stock is down from the mid 60's, and Valero has rebounded 7 points in the last two days. Can Western join the rally? I think it can without the takeout.
If the Fed rate cuts, can stimulate the banks and retailers; then the consumer will be able to afford gasoline at the pumps. That's the 30 second story. It's definitely worth a shot at these levels; and at these prices, good things can happen.
It also a seasonal play. Last year the refiners made the start of their big moves at this time. Maybe history will repeat itself.
Or let's just get taken out!
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