MONDAY MORNING Q4 WITH BREAKOUT CHARTS

We are about 1.60 below all time highs on the MLP index and its entirely concievable that we could reach it today on any rally attempt. No news drivers this morning on the corporate side. Always fun to wake up on a Monday morning with a deal or two but not happening so far this morning. Westlake Chemical (WLK) is buying up some assets from Kinder Morgan (KMP) though Kinder Morgan will continue to manage the pipeline. There was also this interesting piece on Seeking Alpha about the impending west US water crisis. Kinder Morgan is mentioned and stands to benefit as demand for nat gas will increase to compensate for the drying up of the western water sources. Nat gas will have to be used to provide power replacing water which continues to decline thanks to a drought and overuse. Of course demand for nat gas should be bullish longer term for that commodity which never goes up..ever. Interesting read. By the way we have been focusing on the MLP 2X ETF (MLPL). Well guess what kids. If you want to go short there is this new ETF (MLPI).

There is one more deal to talk about this morning as Eagle Rock (EROC) is aquiring assets that are accretive according the the release. EROC once traded in the lower 20s but its one of those mlps that has never made it back out of single digits and it won't until it gets the distribution going in the double digits.

This morning we hav slightly weaker futures as the dow aims for 11,000. Looks like mlps will get to all time highs before the dow gets back to the highs of last spring. The dollar is a little higher this morning after being lower earlier. Crude is a few ticks higher and nat gas a few ticks lower. The two year has hit a record low yield this morning of 0.43% while the 10 and 30 year are above their recent low yields but not by much. Euro markets are lower ahead of the open which looms shortly.