Market Commentary

The Sky is Falling . . .by James Dondero

Chicken Little is a large MLP investor. In the recent period of declining crude prices, virtually all energy-related assets have been impacted, including MLPs – despite their largely fee-based business models. Since the beginning of the year, MLPs (as measured by the Alerian MLP Index, AMZ) have lost -22.4%, underperforming the S&P 500 Energy Index and only somewhat bettering crude itself (Figure 1). What makes…

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Sep The Fed Stands Pat – Jim Dondero

September 21, 2015 Markets were quite volatile last week, with stocks reacting negatively to the Fed’s decision to keep interest rates unchanged. While the FOMC did make it clear rates were likely to rise by year end, “lower for longer” is the message to which markets are now adjusting. Bonds however, are benefitting from the announcement as the relatively high yields on the long end…

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7 MLP opportunities for investors – James Dondero

Mid-April has seen a consecutive multi-day rise in oil prices, with West Texas Intermediate briefly hovering around $57, its highest level since last December. This comes as the Department of Energy reported declining crude production, along with a small rise in inventories.  Additionally, OPEC has predicted a decline in U.S. crude production for the second half of 2015. Escalating global conflict has also given prices…

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