TWO CHARTS LINKED TOGETHER! 

In case you have been just way to busy trying to stay cool in a pool, ocean, or endless beer, mlps have staged a pretty remarkable rally here which began just before the end of the second quarter. We are up 12 of the last 13 days and there is no sign that anyone want to sell in here, particularly since the quarterly results will becoming out soon and most mlps will step foward and announce their usually 2% quarter to quarter increases in payouts. Since we live in a world where dividends and distribtuions are everything, getting 6% cash against a 10 year under 1.50% certainly looks and feels pretty good. Just exactly what the implications are longer term in my view can't be good. But it seems that as bearish as i have been lately, the overall market has just managed to pull back just enough to make you nervous but not enough to make u panic.

Earnings from the big boys, Kinder Morgan Partners (KMP) and Enterprise Products (EPD) will be out soon and those stocks are near 52 week highs. Certainly its a vote of confidence to see these mlps rallying back and the index is nearing 400 again. At least for now buyers are in control.