PULLBACK CONTINUES!

A couple of observartions. First off it was clear we were so extended and a pullback to the moving averages was expected and not really a surprise. The second is that the pullback is comint at a time when the 10year is trying to carve out a short term bottom in yield. I found it particularly interesting that yesterday's fed speak by St Louis head Bullard about the dangers of deflation, that the fed may need to buy long term bonds to prevent Japan here, did nothing to spur on another downleg in yield.

And this morning the GDP is out and its telling us that the economic recovery is terrible (no surprise) but within expectations. Its wise for we mlp holders to keep an eye here on these recent developements. So far however its nothing more than a pullback being exaggerated by ex distributions.

Stock futures are down almost 100 after GDP. The metals are up. Crude and energy are down. No corporate headlines and no upgrades or downgrades.

Atlas Pipeline (APL) have to be happy as their mlp has come alive with a 5 point gain so far this week on the possibility of the distribution coming back soon. Attention now shifts to Crosstex (XTEX,XTXI) to see if they will say the same thing. Last quarter the company did tell us that they had distributable cash flow and that they were doing the right things to increase that number. They will let us know soon with earnings next Friday.