It seems to me that between 2000 and 2006 we had low oil / energy prices and that was a very favorable envirinment for mlps. Now the tide has turned and most mlps will be hit with conservation programs from their customers. This will hit the bottom line of most mlps and their share prices will fall as they have and continue to fall going forward. Your thoughts
Overly simplistic argument. Yes, MLPs have varying sensitivity to commodity volumes and prices. Some of the MLPs, especially those with interstate pipes, have effectively fixed fee (capacity reservation) contracts they get paid for no matter how much moves through their system. Some of the MLPs get paid for storage or terminalling services. Do you have a more specific point to make?
I have been on a number of conferance calls and there were states made that connected earnings with conservation do to propane price increases.
both NRGY and FGP both missed and stated that the higher propane prices had effected earnings. not that pipe is not another reason. a clear picture of what i'm saying can be seen be viewed at yahoo uso and ^amz chart
other factors, hegde funds and credit play into what looks like the perfect storm, and why this sector is going south.