HIGH YIELD INDEX BREAKING OUT!
COULD BE THAT MLP RALLY HAS MORE TO GO!

A nice developement in the high yield index as we are in the process of breakout of this base that has developed on the chart. We need to clear that 3.20 level on this chart. And since the high yield chart and the mlp chart are pretty much tracking each other virtually step by step, we should keep an extra close eye on it. There are still many mlps out there yielding 15-20% and if yields spreads ever normalize many of these mlps are sitting on a double. If we combine that with maybe a return to a day of distribution increases and you have the ingredients for some major upside.



This morning looks like a typical Friday in MLP land where we don't see much on the newsfront. A few minor news items but nothing earth shattering. Constellation Partners (CEP) yesterday climbed up to 2.81 which was a nice percentage gain. No news that i saw so we'll just take that as one of those moves you get sometimes in stocks under 5 bucks.

Crude is flat this morning as we continue to hover around 50 bucks. Stock futures are flat but we have earnings from GE which were better than forecast. Financials continue to do quite well so as long as they have the bit in their teeth. the overall market will be supportive. Nothing on the upgrade downgrade list so far.

Back to normal today. I have 2 more crazy days to deal with next week and then things should settle down.