MLPS LANGUISH

AS MARKETS IMPROVE

Its never fun when everything else goes up and MLPS go down which was the case yesterday. Kinder Morgan Partners (KMP) sold off by over a point yesterday dragging the index down by 1 point and change. Lehman had raised its target price on Kinder Morgan and i've noticed over time that Lehman positive moves usually cause a short term opposite effect on the stocks. I don't know why that is the case but it happens often this sort of by the rumour sell the fact. Back to MLPS maybe we'll see some catch up today as long as there are no negative catylists out there. God knows they are always lurking.

After hours action yesterday produced a 1 million share block of Linn Energy (LINE) crossing and another block of several hundred thousand. There were 15 and 20 thousand share blocks crossing all day long. Finally a sign of a bottom? One can always hope. We also had earnings yesterday from Penn Virginia Resources which shows record distribuable cash flow. Penn Virginia Holding (PVG) also put up its numbers.

Boardwalk Partners (BWP) earnings did not impress apparently as Morgan Stanley follows RBC and downgrades the stock to market perform from outperform. Nothing much else going on this morning. Stock futures and energy futures are firm.