Archive

Week Thoughts: Best Week for MLPs Since March 2009

04Jan
MLPs took off like they were shot out of a cannon this week. We'll see how long it takes for gravity to take effect. Perhaps gravity will take the form of a fresh slew of equity offerings in the coming weeks, or the next DC crisis which we forestalled for at least a month or two this week. But for now, its all good. MLPs were up each of the 4

Week Thoughts: MLP Risk-on Rally Resumes

20Mar
MLPs resumed their March back towards flat for the year with a 4.8% week.  MLPs were helped by oil prices, which were helped by a weaker dollar, which was helped by a dovish Fed. MLPs outperformed oil prices after lagging last week’s big oil move. Small-cap and commodity exposed midstream MLPs outperformed.  The Alerian MLP Equal Weight Index was

Week Thoughts: Head or Gut?

18Jun
MLPs had a fourth consecutive 1%+ weekly decline, a streak that hasn’t happened for the MLP Index since October 2008.  Oil prices declined for a fourth straight week as well, big coincidence.  Both are looking a bit oversold at this point.  The trick may be in convincing Amazon that it needs to secure access to refined products for its trucks and

MLP Week Thoughts: Beginning to Look a Lot Like Christmas

18Dec
MLPs crossed back over “the 300” two more times this week, but finished on the good side and +1.2% on the week.  Large cap MLPs beat smaller MLPs as evidenced by the spread between the AMZ and its equal weight cousin.  Interest rates pushed higher, but yield-based equities found support while the S&P 500 traded sideways. Oil prices bounced

MLP Week Thoughts: Chesa-Peaking Negativity

14Feb
MLPs had a negative 10.2% total return week, the 6th worst week ever, but not quite as bad as the first week of December leading up to KMI’s dividend cut.  Over the past two weeks MLPs have dropped 14.4% and finished the week down 23.9% for the year, including distributions outpacing oil’s price decline YTD. After 12 trading days without a 5%

Week Thoughts: Spotlight on Revenant MLPs, No Longer the Big Short

28Feb
MLPs continued last week’s rally, but with a little less fortitude this week.  Monday, Wednesday and Friday were up, Tuesday and Thursday were down.  Overall, MLPs finished +3.8%.  Earnings drove wide disparity among individual MLP returns.  Oil prices forcefully breaking back above $30/bbl helped lift the tide.  Major themes this week were: (1)

Week Thoughts: Super Tuesday Keeps MLPs Green

17Apr
MLPs rallied again this week, making it 3 straight positive weeks and 8 of the last 10.  The AMZ finished the week with a 1.1% gain, although the gains were isolated to a 3.5% rally on Tuesday. Oil prices finished the week up around 2%, breaking above $40/bbl and staying above, despite fading late in the week as uncertainty regarding the upcoming meeting

Week Thoughts: Washout

04Jun
The MLP index breached 300 on the downside twice and closed the week at its lowest level so far this year and lowest since 12/14/16.  MLPs have dropped 2 weeks in a row, have declined 12% from their January peak, have produced negative total return YTD, and have produced just 3.2% total return the last 12 months.  Adding insult to injury on this short but

Week Thoughts: Intelligent Investors Break MLP Pain Cycle

21Feb
MLPs saw a sustained rally on a flurry of non-negative news and finished the week up 10%+.  Including last Friday, MLPs have bounced 17% off the lows, but remain down more than 15% for the year.  The bounce wasn’t so strong for the Equal Weight Alerian MLP Index, up just 7.7%.  The disparity was due to large cap MLPs rallying hard, led by WPZ and