Archive

Week Thoughts: Roses are Red, Midstream is Green

18Feb
MLPs finished positive for the week, but underperformed the rest of Midstream, the S&P 500, utilities, and oil prices.   The broader energy infrastructure index (AMEI) traded better on the back of a strong week in Canadian Midstream and some of the larger U.S. Midstream Corporations. Midstream earnings released this week were better than last

Week Thoughts: MLPs Bleeding Green

11Feb
More pain for midstream and MLP stocks this week.  The negative factors from last week remained, but oil prices piled on this week.  Oil prices are on a 6-day losing streak and broke below $60/bbl Friday.  Stocks were volatile, and midstream/MLPs held up ok on a relative basis and have been a decent place to hide the last few weeks if you avoided the

Week Thoughts: E-Brakes Slam Midstream

04Feb
In a rough week for stocks of all kinds, energy stocks and midstream/MLPs stood out as particularly weak.  The MLP Index declined 5.9%, including distributions, the first 5%+ decline week in nearly two years (since February 2016).  The 10-year treasury rate rose another 17 basis points, and sits just 17 more bps from 3.00%.  Oil prices held up well and

Week Thoughts: Midstream Elephants on Parade

27Jan
Midstream stocks resumed their elevation this week, mostly keeping up with the torrid pace of the broad market.  The S&P 500 gained another 2.2% this week (although without much help from KMI -1.3%).  Oil and natural gas prices also shot higher, helped by falling inventories and a falling U.S. dollar.   The MLP Index has gained 10% already this

Week Thoughts: Pausing Midstream

21Jan
Midstream stocks sold off this short week, taking a breather from their sprint off the bottom.  MLPs had traded up in each of the last 5 weeks, so a pause isn’t surprising.  The MLP Index traded down the first 3 days of the week, before a reversal and positive finish Friday. The U.S. 10-year interest rate rose 11 bps to 2.66%, which when combined

Week Thoughts: MLPs Leveling Up

13Jan
MLPs had their best week since…last week, up each day this week for another 4.6% since last Friday.  It was a fifth straight positive week, the first such streak since April 2016.  The Index is now 19% higher than the end of November recent bottom. MLP strength this week was helped by higher oil prices, higher broad stock market and what I

Week Thoughts: Hustle & Flows

07Jan
It was a great opening week for midstream stocks, or almost any other kind of stock (ex-utilities and REITs). MLPs have traded up for 4 consecutive weeks, the first streak of 4+ positive weeks since April 2016.  4.5% is the best week for MLPs since late last January.  MLPs are also 13.9% off the late November bottom.  The MLP Index opened with

Week Thoughts: Settling Up

31Dec
MLPs closed out a forgettable year (-6.5%) with a forgettable week (+0.5%).  MLPs did beat the broad stock market and utilities this week in what has recently become a trend (that hopefully continues in the new year).  Oil prices gained another 3% and finished on a multi-year high (above $60/bbl for the first time since mid-2015). Status

Week Thoughts: MLPs Mopping Up, Making Merry

24Dec
MLP optimism continues to build, as MLPs shrugged off higher interest rates that hurt other yield-oriented securities to gain another 0.5% this week.  MLPs are now up more than 8% off the late November bottom.  Outside of the changes to the tax backdrop, not much else changed this week.  There was some volatility early in the week, with MLPs threatening