Tag: ARCHIVE

It was a week of fits and starts for MLPs and midstream. It seemed like no one wanted to be caught holding MLPs at month-end, which seemed to hurt price action Tuesday after a positive start to the week. Then oil prices tumbled Thursday and brought midstream stocks down with them.

Midstream stocks traded okay overall this week, but underperformed utilities and the S&P 500, which closed at a fresh all-time high after better than expected U.S. GDP data. The MLP Index (AMZ) underperformed the Midstream indexes (AMNA and AMUS), extending midstream’s lead over last 12 months and YTD.

MLPs and midstream corporations underperformed the market this week. Midstream stocks traded down each of the 4 trading days in what was the worst week for the AMNA and AMZ in more than two months.

Midstream and MLPs were unchanged on the week, but finished strong along with the rest of the energy sector after the mega-merger announcement by Chevron Friday morning. The stock market and utilities were slightly positive week over week.

After a few flattish weeks, midstream grinded higher this week, finishing up 1.2%. Midstream lagged oil prices, energy stocks and the S&P 500. The U.S. 10-year treasury rate bounced back up to 2.50%, and utilities underperformed.

Stock prices across midstream were little changed again this week, with U.S. corporations trading slightly better than MLPs and Canadian corporations. The S&P 500 beat Midstream and utilities, and Lyft is now a public company.

The broad market crapped out Friday after rallying Thursday on perceived Fed support, but midstream outperformed on the day and the week.

The one-year anniversary of the FERC policy statement for MLPs was last week.  While MLPs stock prices recovered from the initial negative price reaction to the FERC ruling last year, the lasting impact of that announcement continues to play out today, and the ripples of that announcement may impact performance going forward.

Midstream and MLPs finished the week negative overall, but rallied Friday on a negative day for oil prices to nearly salvage the week, which was encouraging in light of largely negative news across the sector this week.

Midstream and MLPs finished the week negative overall, but rallied Friday on a negative day for oil prices to nearly salvage the week, which was encouraging in light of largely negative news across the sector this week.