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Unseasonably high natural gas inventories going into mid-January support Sterne Agee's bearish...

Unseasonably high natural gas inventories going into mid-January support Sterne Agee's bearish outlook for gas amid what looks like another mild winter, as the firm suggests avoiding pure-play gas names such as Southwestern (SWN) and Ultra Petroleum (UPL). Only four companies have 40%-plus of 2013 estimated gas production hedged, the firm says: PXD, EGN, AREX, QEP.
Comments (2)
  • Bob de'Long
    , contributor
    Comments (698) | Send Message
     
    I hope Sterne Agee's natural gas bearishness is not new. Many of us here on Seeking Alpha have been bearish. I've been a strong gas bear since 2008. Oil is even beginning to worry me.
    4 Jan 2013, 05:11 PM Reply Like
  • toncuz
    , contributor
    Comments (53) | Send Message
     
    Natural gas incentives included in the recent "fiscal cliff" legislation:

     

    "Tonight, Congress passed the American Taxpayer Relief Act to avert the "fiscal cliff." Included in that legislation was a one-year extension of a large number of tax credits - including the tax credit for the sale of CNG and LNG for vehicle use and for the installation of natural gas fueling equipment. Specifically, this is the 50 cent per GGE tax credit for CNG, 50 cent per gallon tax credit for LNG and the $30,000 infrastructure tax credit. The tax credits are extended until December 31, 2013 and ARE RETROACTIVE FOR ALL OF 2012."

     

    Last April, UNG was $14.25...15 weeks later it was $22.42...8 points higher...after our warmest winter. Hmmmm
    5 Jan 2013, 02:31 AM Reply Like
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