Does anyone have any insight as to why XTXI is down today while XTEX is up? It's almost a $3 gap between the two.
The dollar is weaker and greece is going to get aid with their debt.
Is it the shorts again?
Thanks in advance.
I am a long term investor in XTXI and believe that it will rise over time due to a fundamental shift in US energy policy in favor of natural gas. I will not be surprised to see more energy companies acquire natural gas companies this year.
Yeah, and analysts should only issue strong buy recommendations. Just like during the dotcom bubble. Anything else wouldn't be nice.
Nobody should mention it if NG prices are weak. Don't talk about such dirty little secrets.
You are a fool. Investing isn't the same a cheerleading.
That's a foolish attitude.
Most of my investments are income producing energy vehicles like MLPs. Selling has major tax consequences. Anyway, most of them will keep right on paying distributions unless NG price stays down several years until their hedges roll off. Rather than selling, I will be using the summer weakness to add units of Amroys which are unhedged and likely to drop along with NG pries.
Besides which it is not clear that low NG prices this summer would have an extreme effect on Crosstex, which is after all not a producer (I hold XTEX not XTXI and don't expect it to drop more than 20-30% and even then I'd expect it to get back to a ~10% yield once distributions start).
Successful investing does not mean blinding yourself to all concerns and just being happy-happy. Those with that attitude are the proverbial pigs who get slaughtered.
You clearly are the rookie.
I've been saying the same thing for months and so far have been right on, even in winter when everyone here was bullish on NG because of the weather (haha, like we don't have cold weather every winter).
NG is on the way further down.
Demand is stagnant.
Production is up, rig count still rising and way up from a year ago. 2009 set the record for US NG production and 2010 will likely set a new record - all major producers are planning to increase output.
Supplies already 8% above 5-year average and we are now into injection season.
Come late summer, it will be a repeat of 2009 - storage will be close to capacity, some producers forced to flare gas or sell in spot market for next to nothing. By September, NG may be below $3 and there will be large contango for front couple of months.
P.S. Not just my opinion. Bentek as well as most NG analysts saying something similar.
If you don't agree, why don't you explain what you think the catalyst will be for NG to move higher considering supplies are higher than average, last year storage was full and price went down to $2.50, this year production will be higher but demand not much improved. What do you think is going to stop NG being oversupplied just like in 2009?
Or do you have no real ideas? Only name calling?