Obviously several people bought on the rumor on Friday. In the past the stock jumped on the rumor, but fizzled the rest of the day. Please notice the opposite Friday. APC went up all day.
I think a test of $45 is possible this morning. Look, the stock is not going to jump $5-$7 on a rumor...but I honeslty think APC will be bought by RD. RD wants in the natural gas market in North America. Good strategic fit and a great deal for all stockholders.
Looking at the fundamentals and the present situation of both comapnies I think a merger between APC and RD is a no brainer. The issue is basically what APC will be sold for. Do not discout CVX. I think CVX will also make a push to buy APC.
Either way I think we get an announcement in October. Until then hold tight.