Despite reporting a 49% drop in fourth quarter earnings, Valero Energy Corporation (NYSE: VLO) beat Wall Street expectations by 38 cents, and you know what that usually means -- the stock jumped.
Valero was able to take advantage of price spreads on crude in the fourth quarter that were obviously not a part of analysts' estimates which they are no doubt changing as we speak.
According to the AP: "In 2008, Valero officials said they expect gasoline markets to return to more seasonal patterns, with margins improving during the summer driving season. Diesel margins were expected to be strong because inventories are lower than last year and demand remains strong, said Chairman and CEO Bill Klesse."
Comfort Zone Investing: The unmighty dollar
Five winners of a weak dollar
For a quick-read on the U.S. economy, check the price of gasoline
