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Nov.18
11:01 AM ET
Tuesday, 18 Nov 2008
Oil Stocks: Don't Sweat Obama, Just Buy

Tina Vital sees pressure increasing on U.S. oil producers and refiners when Barack Obama plays out his campaign promise to reduce domestic oil consumption. But the integrated oil and gas equity analyst for Standard & Poor's also says oil companies remain good investments.

But the picture is not entirely bleak.

"Even though we're seeing some fall-off in production growth this year, we're expecting 2 to 3 percent longer-term, as legacy projects come onstream," she said.

Recommendations:

Vital's oil-industry stock picks fall into two categories:  5-star stocks and 4-star stocks.

Five Stars:

In her five-star category are Exxon Mobil [XOM  Loading...      ()   ], Chevron [CVX  Loading...      ()   ], and ConocoPhillips [COP  Loading...      ()   ].

Four Stars:

Four stars go to Marathon Oil [MRO  Loading...      ()   ] and Occidental Petroleum [OXY  Loading...      ()   ].

Disclosures:

Affiliates of Vital's firm may provide services to Exxon Mobil, Chevron, ConocoPhillips, Marathon Oil, and Occidental Petroleum.

Disclaimer

© 2008 CNBC.com

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