Water coming from exhaust???

I'm trying to find out exactly what kind of a problem I have on my hands, if any???? I have a 65 Coupe, 289. Performer intake, edelbrock carb. The car is running pretty rich, but starts right up, doesnt seem low on power, runs fine. When you rev the car, what appears to be water shoots out of the exhaust and on to the ground. It comes out black and doesnt smell like anything but water.

Today I was changing the valve covers and noticed what looked like a tiny bit of standing black water puddled in the heads. Once again, doesnt smell like gas or antifreeze. My coolant level is fine and the oil level is ok. I'm very confused.

Could old or bad gas cause this much water to get into the engine? I figure if it was a head gasket I would smell the antifreeze or see some mixing of some sort. This just looks like oil blackened water and I'm sure it isnt good for the car.

ANy thoughts?????:shrug:
 
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As far as your exhaust goes:
Water is a product of combustion. When fuel and air is ignited, water is produced (also including CO2, CO, etc.)

About the fluid on the heads, was it oil? Was the engine cold when you took the valve covers off? If it is water if could be the result of a leaky valve cover gasket among a ton of other things. I don't think you have anything to worry about.