Headlines on BTU board at the close. Most coal stocks up 4 to 6%. NRP lost most of early gains. Closed up less than half a percent (7 pennies). NRP will tread water till ex date and then drop like a rock (as it ALWAYS does).
Michael Moore, CEO of CSX just interviewed on CNBC about their 2nd quarter results. Domestic coal shipments up 8%. Coal exports dropped from 44 to 35 million tons 2013 vs 2014. Big surprise to me. Big disappointment.
Folks out west think that fracking is causing earthquakes. Also folks in my state think that liquids used in fracking are poisoning water. Makes about as much sense as global warming!!
BB&T is no longer listed as a holder of NRP shares. A few months ago they owned almost 3 million shares (BB&T + Scott & Stringfellow which is owned by BB&T). Bank America has also sold their 1.6 million shares.
This time from Wyatt Resources. They like NRP. Same as Zacks, The Street and Motley Fools. Wyatt didn't help NRP shares today. Traded near the low most of the day. Going much lower.
Brilliant Molley Fools contributor posted writing titled "Why Coal Stocks got crushed". Coal stocks have been crushing for years. Caused by high inventories, low prices, epa etc. Look forward to analyst's reasons for the coal companies share drop this week.
1. July 13 through July 31 - NRP will trade between $15.50 and $16.50
2. Aug 1 through Dec. 31. - NRP will trade between $10.00 and $15.00
Don't know about 2015 yet. Maybe we will find gold on the 11 million acres.
Dow down 31. Coal stocks continue to drop. ACI and ANR near record lows. Both lease mines from NRP. Natural gas flat. NRP continues to drop even though only 15 trading days till ex.
Adding to the air we breath Arsenic, mercury, acid gasses, SO2, nickel, NOX,, and chromium. Gives off BACK SMOKE too. Has to be bad.
Market Realist just posted the above. Will let you know what I read tomorrow.
Dow crashed early but recovered two thirds of the loss. All coal stocks were down and most closed near their low. NRP too! If you read the highlights from other coal company boards you will see why most coal companies are trading near record lows. They will continue to drop. After ex date, NRP will also join the record low group. Natural gas continues to tank and trading at another multi month low.
Hundred thousand shares traded in last 15 minutes of trading . Took share price up 20 cents. That's good! Could hold above $15 till after ex date (12 trading days).
Dow opened up on better than expected earnings from Alcoa. Coal stocks continue to tank. Morgan Stanley cut 2015 price target for met coal. Natural gas hitting 6 month low. NRP continues to drop.
Seeking Alpha contributor Steve Reitmeister new expects that WLT might bankrupt in early 2015. WLT is considered a pure play in met coal. NRP's major contributor to profit and income is met coal. Current met coal price is around $120. Most analysts say that a price of $180 to $200 is needed for the met coal miners to be healthy. I SEE NO ANALYST FORECASTING A DATE ON WHICH THAT WILL HAPPEN.
"Peabody leads miners lower. Shift to natural gas and Obama's push to reduce greenhouse gasses destroyed coal stocks today". It ain't over till it's over and it ain't over yet. Next stop, coal companies will report very bad second quarter results.