GE DROPS ASSETS TO REGENCY

ITS ALL ABOUT THE FED

News this morning as Regency Partners (RGNC) buys some assets from GE which owns the Regency GP. They'll be paying for it by issuing some class D units so there is no immediate dilution. More shares may come to market down the road but at least not today. No other corporate developements so we can shift our attention to the Fed which will cut rates today by 25 basis points which looks like its baked into the cake and probably signal more cuts are coming down the road. MLPS have not moved at all in the last couple of weeks as the overall market as rallied nearly 900 points on the Dow. The selling pressure continues and as i have said before its probably a combination of year end selling, unabating stock supply coming to market, and the credit markets which are simply not functioning. Now perhaps if the fed moves bigger on the discount rate today to get the credit markets moving again we can remove what is probably the biggest headwind we are dealing with. In the meantime we just drip drip drip lower lower lower.

No upgrades or downgrades this morning. Stock futures are higher as is energy. Ought to be an interesting day.