There’s a chart that’s been making the rounds lately comparing the S&P 500 in 2003 and 2004 to the current pattern in the same index. It’s always dangerous to blindly compare two different periods in market history, but in this instance there are some striking similarities.
Alternative energy-related stocks are often an alluring to investors. And given all the talk concerning carbon regulation and the stimulus package over the past year, interest in the group has been running at a fever pitch.
ExxonMobil is making a $41 billion bet on natural gas, and others will follow suit. Here’s how to play the gas investment rush.
In the first issue of the new year I usually provide a roadmap for the year ahead. This isn’t an investment plan that’s set in stone but a flexible, general guide to what areas will provide the best returns.
Chesapeake Energy’s (NYSE: CHK) partnership deal with France-based Total Energy (NYSE: TOT) demonstrates that the world’s largest energy firms regard US unconventional gas as a world-class play and want to increase their exposure to this area. Here’s how to play it.
There’s a great deal of misinformation published on the Internet and in print media concerning MLP taxation. Back in 2007 a series of articles published in major media outlets claimed that Congress was working on legislation to end the MLP tax advantage. The same rumors have cropped up again lately.
It’s official: The benchmark Alerian MLP Index logged the best one-year gain in its 14-year history in 2009, a 77 percent total return. After a rally of that magnitude, it’s only logical for investors to wonder if it’s too late to jump aboard.
Of course there’s a chance the recovery could stall and the economy re-enter recession next year. But you need to appreciate just how rare double-dip recessions have been in US history.
I remained cautious on alternative energy plays for most of 2009–a contrarian view. The rationale behind my skepticism has largely borne out this year. Now that the hype is subsiding, I am becoming more constructive on the group.
There are two primary drivers of global crop demand: increased demand for biofuels and dietary shifts in developing countries. Both demand drivers favor higher prices next year.
