cocacolabuffet's  Instablog

Send Message
Coke is a full-time investor who employs macro-investing strategies.Her biggest strength is the acute identification of macro trends and leverage that strength on stock investing. The approach she utilizes is top-down and fundamental analysis. Her focus areas are commodities,retailers and real... More
My company:
Uptrend Capital, LLC
My blog:
Passion for life and stocks
  • A Turning Point For US Coal And Dry Bulk Shipping Stocks? 1 comment
    Feb 6, 2012 10:09 PM | about stocks: DRYS, DSXZQ, ARCH, BTUUQ, PCXCQ, EGLE, NM, EXM, SB

    Due to the glut of natural gas and environmentalist pressure, the domestic demand for coal has been depressed. US coal producers are looking abroad.

    From Marketwatch

    "The U.S. Energy Information Administration estimates 2011 exports surpassed 100 million short tons for the first time since 1992, and some market watchers expect exports to top that this year. ....................................

    Higher sales prices in Asia and Europe have made sending coal to those markets more attractive, while U.S. emissions regulations and competition from cheap natural gas limit domestic demand.

    Fast-growing China and India have been sucking up shipments to fuel an expansion of coal-fired power plants, disrupting traditional supply channels. South Africa -- a traditional exporter to Europe -- has been sending more shipments to Asia, creating a hole in the market that the U.S. has helped fill. "

    The US coal exports could eventually hit a ceiling, as transportation costs will make U.S.-produced coal less competitively priced than coal produced closer to major Asian customers. However, shipping rates that are hovering around historic lows can help US coal exports. Meanwhile, dry bulk shipping that has been abysmal amidst a gigantic glut of ships may get a lift from increased coal transportation across the ocean.

    Watch lists:
    Coal- ACI, ANR, BTU, CNX, PCX
    Dry Bulk Shipping- DRYS, DSX, EGLE, EXM, SB, NM

    Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in DRYS, ANR, PCX, DSX over the next 72 hours.

Back To cocacolabuffet's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (1)
Track new comments
  • Peter Epstein
    , contributor
    Comments (1658) | Send Message
    Speaking of Peabody Energy, (BTU)...

    7 Feb 2012, 02:41 PM Reply Like
Full index of posts »
Latest Followers


  • This round of corrections in fertilizers and materials due to fears on rate hikes in China will be a good opportunity to buy
    Jan 20, 2011
  • The market did have a strong rebounce since Wednesday. The market is on its way to test 52 week high. Would be very cautious,lightly long.
    Nov 6, 2009
  • took profit smn at $11 and srs at $10.2. don't wanna risk a rebounce
    Nov 3, 2009
More »

Latest Comments

Most Commented
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.