MLPS are higher as the market comes off its lows of minus 80 on the dow. The index is just a few ticks under 337 as of this post. I wonder if there will be some sort of end of quarter run in the last hour.

The 100 point gain on the dow is gone as end of quarter pressures work their way into trading. Dow is now down 10 points. The mlp index is absolutely flat. All of the group is trading pretty much between minus 30 cents and plus 30 cents.

Was 2.45% a short term double bottom in yields on the 10 year???

Up over 10% for the quarter plus distribution and up about 5% for the month of September. Not too shabby.

Markets higher in the early going and Chicago PMI was above expectations which took the dow up over 100 for awhile and close to 11,000k.

END OF QUARTER!

As always when we approach these kind of days where distortions abound, we can say it was indeed an excellent September for the overall market. For mlps it was okay with a 5% gain in the index from 320 at the beginning of the month to 336 today ( depending on where we finish). Futures turned nicely higher on jobless claims which were better this week. Not much happening in the premarket for mlps and there are no corporate news drivers. The dollar is down, rates are flat, oil is higher and nat gas is lower ahead of weekly numbers.

With the beginning of Q4 and the bull market in MLPS coming to its 2nd birthday, one has to wonder whether the supportive leg of low rates has to evenetually reverse itself. This arguement has been on going for 2 years now and for 2 years conventional wisdom (mine included) has been totally wrong as long term yields when from 4 to 2.50 on the 10 year. Unless money is going to absolute zero like Japan, you would have to think at some point they have to go up. That comes with a meaningful economic recovery which so far remains elusive. Not elusive is the open which looms shortly.

MLPS continue to move higher and approaching 337 which would be a new trading high and just 1% below all time highs. A far cry from 2 years ago as we were heading for 145. Alliance Resource (ARLP) is down 1.19 but that was a big winner this quarter so someone could be booking profits there. Enterprise Holdings (EPE) is up 1 and change as the big winner of the day.

Up nearly 2 points and in new high territory on the MLP index and we are just 5 points from all time highs as the end of quarter pile on apparently has begun. Lots of strong fractional gains in Enterprise Holdings (EPE) Inergy Holdings (NRGP) Nustar (NS), Linn Energy (LINE) and some others. Not many on the losers list but Alliance Resource (ARLP) is down about 1 on no particular news.

MLPS NEARING THE RECENT TOP!

Yesterday's one point gain takes us within one day striking distance of the absolute top set back in July. We have end of quarter pressures continuing and that ends at the close tomorrow. MLPS have been pretty much moving with interest rates and those have been trending down again on the long end. 2.45 on the ten year and 3.67 on the thirty year are close to their recent trading lows. So its tail winds blowing for now and we'll stick with the idea of higher prices short term. Looks like the dow wants to go to 11,200 which would test the highs for the year.

No corporate drivers this morning so far and no upgrades or downgrades. The dollar is down this morning. Stock futures are flat ahead of the open. Crude is up a few ticks this morning. Nat gas is flat. Gold and silver are a little higher as gold continues to straddle the 1300 line. So let us proceed to the open.

FERRELLGAS PUTS UP EARNINGS

As one of the mlps which reports outside the mainstream reporting time, Ferrellgas announces earnings which by most measures look okay. The company is highlighting "adjusted ebitda" as up 23% and beating last years record. A couple of premarket trades are down a small fraction. This is the only corporate news item this morning as we near the end of quarter.

MLPS closed up 1 yesterday in a watching paint dry kind of day. This morning stock futures are a touch higher. Nothing on the upgrade downgrade list so far. Crude is down and nat gas is up this morning. Rates are flat or just a touch higher or lower depending where you look on the yield curve.

Its one of those mornings where there really isn't too much going on. Kay Shiller housing numbers were positive enough to nudge futures a few additional ticks. Other than that its a pretty boring morning out there.

Raymond James is upping Linn Energy (LINE) to outperform which is why the stock is up 60 cents right now. MLPS are up with the index at 333 and small change up small change. Small fractional moves dominate the list as we head into lunchtime. So far its a watching paint dry type of day with the dow off about 30 points.

IS LEADERSHIP ABOUT TO CHANGE HANDS?

This is a question that is quite frankly very difficult to answer and there are so many factors that go into determining the answer. 22 months ago MLPS made a bottom that has carried them back almost to new all time highs and they've wiped out the bear market losses of 2008. But the action short term lately has been a bit lackluster in mlp land. Notice that while the dow industrials have put in this corrective pattern that has taken us from 11.200 to 9800 and now back to 10800 co-incides with mlps which have hardly corrected in that time span. However this September has not boosted MLPS back into its leadership position.



Now there could be a number of reasons for this including the stock offerings that have announced since August plus the off months for mlps tend to be news free so there aren't any drivers on the corporate side. Or it could be the overall market just playing catchup. The leadership change, if it comes, i believe will come when interest rates truly have bottomed especially on the long side. And while the longer end of the curve is off its lows, there is no sign of an uptrend developing there. Usually when risk takers go out there they tend to shy away from interest sensetive stocks when there can be better gains had elsewhere. And now of course we march toward the end of the quarter and the games that go along with that so the next few days should prove fascinating as usual.

This morning there are no corporate news drivers and no upgrades or downgrades. Linn Energy is up 76 cents on volume this morning but i don't see any headlines. Crude is up and nat gas is down this morning. Euro markets are flat. Gold is up around 1300 and the dollar is down slightly as we head into the open.

Sorry about no posts on Friday but i had a family issue i had to contend with. Things are back to normal this morning.

Another boring day here although from the 90 point drop at the open, markets then rallied on the housing number and the dow is now either side of unchanged while the nasdaq is up. MLPs are down a little..off one point on the index. Enbridge Energy Partners (EEP) leads the winners up nearly 1 as concern about the recent leaks and resulting lawsuits aren't going to mean material impact on the company and no impact on the distributions. Except for Williams (WPZ) which is down 1.30 on the stock offering...most moves are fractional in either direction and nothing that we can draw conclusions from. Watch for the possibility of an end of quarter move in mlps since they have been the year's best performing groups and you would think they would love to show them on the books for the end of quarter...phony as that is..it is a trade.

ANOTHER STOCK OFFERING ON THE TABLE

Williams Partners (WPZ) is taking advantage of its strong stock price to get an offering done before the quarter closes. The stock is predictably trading down 1.53 this morning. They join a long list of mlps and frankly there are probably 1 or 2 that haven't done a stock offering in the last 2 months. Breitburn (BBEP) is doing a private placement of senior notes to raise some money to pay down debt. All in all its favorable market conditions that are allowing companies to go out there and raise money and in the end thats a good thing.

MLPS closed higher yesterday in a lackluster tape and this morning we have lower stock futures as Europe sold off so we are going to start the day down. Gold is hovering around 1300 this morning while crude is down over a dollar. Nat gas is a few ticks higher and its been firm going into quarter end. Yields are lower thanks to jobless claims and housing numbers are coming out at 10am and that will probably be a market mover today.

Not much else happening this Thursday morning as we gear up for end of quarter next week.

MLPS MOVE HIGHER AT OPEN!

Nice first opening half hour move above 333 as we make baby steps toward the year high of 335 and some change. Overall market still digesting yesterdays fed meeting and statement hinting at more ease coming. Dow ran up earlier but is now down 22 points. Headlines driving Enebridge Energy Partners this morning as the company comments on lawsuits from the Lakehead oil leaks. They say no impact to distributions and the stock is up 48 cents at the moment. Nothing else on the corporate news front this morning so its basically looking at fractional moves in either direction of no big consequence. Surburban Propane (SPH) continues moving higher by 60 cents as the days biggest winner and its at 52 week highs.

Bond yields are moving lower this morning as the feeling sets in that interest rates may never rise gain. Meanwhile MLPS need to make a decisive move one way or another. Add the fact that end of quarter approaches and you have the ingredients for some volitility. The path of least resistence continues to remain higher and new all time highs on the MLP index will occur if the overall market extends its reach to new highs for the year, around 11,200 on the dow.

Not often that i put a chart up of Exxon but its the big boy among the energy group and the chart certainly looks like that trip down to 58 was a door opening to the bargain basement. This one could emerge as a nice leader overall going foward. Not a recommendation here but a break above the neckline at 63-64 could mean a trip back to 70 is coming.

Duh..Alliance Resource Holdings (AHGP) is up 1.45 on the idea that they are the next GP to go. Forgot to mention that one.

Going sideways at noon as we wait for the fed.

Another GP bites the dust as Penn Virginia Resource (PVR) buys Penn Virginia Group Holdings (PVG). This leaves Nustar Holdings (NSH) Atlas Holdings (AHD) and Crosstex (XTXI) among the few remaining gps out there. Nustar Holdings (NSH) is up to 33 and is higher today. Judging from the market action latetly in these GPs, there is premium already built into prices as they seem to be getting done with not much one day goosing.

FED MEETING HEADS TUESDAY'S AGENDA!

The fed will sit down today and pretty much state the obvious. While this goes on we had a nice move yesterday in the overall market and we have broken above the shoulder of the W bottom that appears to be in place.
It would have been nice if we could have done it with a bit of a volume spike but at the end of the day its about price action and prices appear to want to go higher. 10,900 is the next level to watch and then ultimately 11,200 is the high for the year and thats where we will look to see if this is the beginning of something big for year end or the end of another round trip in a trading range. I can't imagine the fed saying anything negative that the market doesn't already know about and if they announce another round of bond buying; well that too may already be priced into bond yields. My guess is, short term blips aside, the trend remains higher. MLPs appear to be in the mode of following the market along and are not at the forefront of the gainers as we have gotten used to for quiet awhile. The bull market in MLPS began in December 2008 so its coming up on 2 years when we hit that horrible intra day low at 145 and some change. We have more than doubled from there 331. Not too shabby!

This morning is quiet on the corporate side and we have nothing of consequence going on in the pre market for mlps. We are in typical end of quarter mode here. Stock futures are flat ahead of the open. Crude is lower but nat gas ticking up a few pennies this morning. Gold is down and so is the dollar ahead of the fed.

Dow industrials breakout above 10700 so it appears we may be headed to the very top of the trading range. Mlps also doing well up over 2.60 at post time.

Next time they do a town hall meeting on CNBC..how about doing it in a place like Dallas instead of a place where the audience is loaded with deomcrats.

The big zero is on CNBC right now in a town hall gasbag session. Meanwhile the dow is up 100 points and mlps are up nearly 2 points. Most mlps are moving fractionally with the exception of Suburban Propane (SPH) which leads the winners list up 1 and a few ticks. Holly Partners (HEP) is down about a point on the UBS downgrade but that stock has been doing quite well recently.Enbridge Energy Partners (EEP) and Oneok (OKS) are up solid fractions.