Sharky & Dean:

In the US, we have a number of analysts predicting another down wave. Robert Prechter is the most bearish calling for an imminent fall with the DJI finally coming to rest in the 4,000 range. It is currently at 10,290. Such a move would not take place all at one time. Rather in a series of up and down waves. For example in the Great Depression of the late 1920 through 1933, the economy had a total of 7 downwaves and 6 upwaves. The final result was that the US market lost 90% of its pre 29 crash value.

Harrry Dent is slightly less bearish than he was, but still is calling for a significant sell off. He too was calling for a major depressionary event. Stephen Leeb is calling for a sell-off in the early part of 2010 to S&P 600. Currently it is 1094.

Obviously, such an event would not be good for the N. American, or world economy. Further, should such occur, it would obviously reflect on oil demand and by extension in a more severe way, Connacher as an immature undercapitalized producer of oil produced from a high cost processs.

This is not meant to be negative towards Connacher. Merely a statement of likely realities under a negative economic scenario. With the state of the US Economy, I would not rule out something which seems contrdictory. Namely, a depressionary, inflationary event. Such would be the worst scenario. Reduced economic activity in the US, accompanied by inflationary prices due to a falling US$. Though such may seem contradictory, it could happen. Canada would likely fare some what better but, could not escape fully the collapse of its major market and largest customer and trading partner. Remember, the US still accounts for more than 40% of the total world economy.

Brian