Archive

Week Thoughts: MLPs Party Like its 2009

24Apr
MLPs kept the healing going in spectacular fashion this week, rallying through Doha and KMI’s weak outlook to finish up 10.5%.  MLPs were up every single day this week, sending almost every MLP up from last week. This is what MLPs trade like when there is no friction, they are able to float higher.  Friction has been removed for the moment:

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: MLP Melt-Up Continues

10Apr
MLPs made it two straight positive weeks with a 1.9% gain.  This time MLPs de-coupled from the broader stock market and re-coupled with oil.  Oil prices are the headline, rallying 6%+ on Friday alone.  But NGL prices had a strong week as well, particularly ethane which is up year-over-year even as everything else is down big (its only $0.02/gallon, but

Week Thoughts: Brief De-Coupling on Bottom Fishing

03Apr
MLPs rallied most of the week, trading up with the broader market on dovish commentary from the Fed, even as oil prices continued to breakdown throughout the week.  Friday’s 4% oil price drop caught up with MLPs, which erased most of the week’s gains with a 2.7% decline.  But MLPs did finish March up 8.3% and closed out the week slightly higher

MLPs Version 2.0: White Paper and Webcast

31Mar
This week, we published a new white paper and companion webcast where I discuss our view of the MLP sector in this transition year.  The white paper can be found here, and the webcast can be found by clicking this link or by clicking on the picture below. In summary, we think most MLPs have options (a broad toolbox) available to them that will

Week Thoughts: MLPs Break Equity Seal

27Mar
In a short week, MLPs gave up last week’s gains with a 4.5% decline overall.  The active oil contract shows up as flat week over week, but given the May contract that took over on Tuesday was actually down 4%, and dipped below $40/bbl after closing above $40 on Tuesday for the first time in 2016.  MLPs have produced 28.9% off the lows even after this

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: MLPs Pause, Head on a Swivel

13Mar
The MLP rally stalled out even as oil prices and the broader market powered higher this week.  MLPs finished down 1.0% on the week, recovering after a 6.1% decline Tuesday. The IEA’s report provided further confirming evidence that oil supply and demand is growing more balanced.  Central bank actions continue to encourage risk on behavior in the

MLP Week Thoughts: Marching Higher

06Mar
The MLP Index rallied another 7.2% this week and has now produced more than 30% total returns since the bottom on 2/11.  Small coincidence that oil prices closed this week 37% higher than the price on that same date in February.  Over that time period, natural gas prices have continued to drift lower, but that hasn’t hurt MLPs (so far). This