Tue, Feb. 17, 12:01 PM
Nov. 18, 2014, 12:40 PM
Nov. 12, 2014, 2:14 PM
- Utility stocks, among the year’s top performing sectors in the market, are sharply lower today - a bad sign, says Weeden & Co. head researcher Michael Purves, who believes now is the time to reduce or hedge utility holdings such as the Utilities Select Sector SPDR Fund (XLU -1.9%).
- Ultra-low bond yields have made utility stock payouts look good by comparison., but valuations have been moving up; Purves says the rally has put XLU’s P/E ratio for the next 12 months at 17.4x, near a 10-year high.
- Investors ought to “start to take profits, given the run was getting long in the teeth,” Purves writes.
- The top 10 XLU holdings are all lower today: DUK -2.5%, NEE -1.7%, D -1.9%, SO -1.4%, EXC -2.8%, AEP -2%, SRE -1.7%, PPL -1.8%, PCG -1%, PEG -2.8%.
- Other ETFs: IDU, VPU, UPW, RYU, FUTY, FXU, PUI, SDP
Oct. 30, 2014, 7:40 AM
Oct. 29, 2014, 4:58 PM
- Spectra Energy Partners (SEP, SE) says it is joining the development of the PennEast Pipeline, which is expected to transport natural gas from the Marcellus Shale to Pennsylvania and New Jersey.
- Spectra joins AGL Resources (NYSE:GAS), NJ Resources (NYSE:NJR), Public Service's (NYSE:PEG) PSEG Power, South Jersey Industries (NYSE:SJI), and UGI; Spectra and PSEG Power will own 10% stakes in PennEast, while the others will own 20%.
Sep. 18, 2014, 12:23 PM
- Public Service Enterprise (PEG -0.72%) is joining the PennEast pipeline project to develop a 100-mile pipeline from Pennsylvania to New Jersey that will transport lower cost natural gas to homes and businesses.
- The pipeline, projected to go into service in 2017, will transport up to 1B cf/day of natural gas and is expected to cost at least $1B.
- PEG will own a 12% interest in PennEast; the other four pipeline partners - AGL Resources (NYSE:GAS), New Jersey Resources (NYSE:NJR), South Jersey Industries (NYSE:SJI) and UGI - each will own 22% stakes.
Jul. 30, 2014, 7:48 AM
Jul. 29, 2014, 5:30 PM
- AB, ACCO, ADT, AMED, AMT, ATRO, AUO, BAH, BDC, BEN, CFR, CVE, D, DHX, DORM, DX, ENR, EVER, GIB, GRMN, GT, HAE, HES, HSP, HUM, HUN, IACI, ICLR, INGR, LFUS, LL, LO, LPLA, MGAM, MINI, MMYT, MRGE, MWV, NICE, NVMI, PAG, PBI, PEG, PSX, PSXP, PTRY, ROK, RRD, S, SAIA, SEE, SGNT, SMP, SO, SODA, SONS, SPB, SPW, TASR, TFX, TRI, VLO, VLY, WEC, WLP
Jul. 15, 2014, 10:57 AM
Jun. 3, 2014, 12:45 PM
- EPA chief Gina McCarthy says she expects for significant changes in proposed state emission goals before a final rule is issued next year if the individual states show they can’t meet the targets.
- McCarthy says the agency made changes when developing its rules on mercury pollution in 2012 after utilities complained, and says she "wouldn’t be surprised if we made significant” revisions to the carbon proposal.
- McCarthy notes "confusion" around the targeted 30% emission cuts, saying it’s not a goal of the plan but an estimate of what the EPA thinks can be achieved.
- Coal names are broadly lower: WLT -4.4%, ACI -3.7%, ANR -2%, ARLP -1.9%, CNX -1.3%, CLD -0.3%, BTU -0.2%.
- Big utilities are mostly higher: EXC +1.6%, AEP +1%, NRG +0.7%, D +0.5%, XEL +0.4%, SO +0.3%, PEG +0.2%, NEE +0.1%, DUK -0.2%
- ETFs: XLE, XLU, TAN, ERX, KOL, IDU, VDE, OIH, ERY, FCG, VPU, DIG, KWT, GASL, DUG, IYE, GASX, PXJ, RYE, FENY, UPW, RYU, FUTY, FXN, FXU, DDG, SDP
May 29, 2014, 7:14 PM
- Public Service Enterprise (PEG) is proposing to cut gas bills for its residential customers by an average 8.9% starting in October, thanks to lower rates for natural gas.
- PSE&G is aiming to cut its basic gas supply rate by nearly 17% to $0.45 from $0.54, the lowest rate in 14 years.
- The drop in rates is attributed in part to the low-cost shale gas supply from the Marcellus Shale, from which the utility purchases its gas.
May 27, 2014, 2:30 PM
- The utility sector is among the day's best performers after the annual capacity auction at PJM Interconnection, which runs the largest U.S. power grid, forecasts payments to electricity producers will jump to $120/MW-day vs. $59.37 in the previous 12-month period and expectations of $75-$100.
- The higher capacity price is a boon to power producers, which rely on the payments as baseline revenues; the auction results are viewed as another endorsement of natural gas.
- The outlook is particularly favorable for Exelon (EXC +3.9%) and FirstEnergy (FE +6%), according to S&P's Aneesh Prabhu; PPL Corp. (PPL +2.9%) also benefits, especially considering that the price in its region was expected to fall.
- The price for Public Service Electric & Gas' (PEG -0.2%) utility territory in northern New Jersey was set at $215/MW-day, down from $219 a year earlier.
- ETFs: XLU, IDU, VPU, DBE, RJN, UPW, FUTY, RYU, PUI, FXU, JJE, SDP, ONG, RGRE, UBN
May 16, 2014, 5:03 AM
- The White House is considering forcing power plants to cut carbon emissions by 25% over a 15-year period, Bloomberg reports.
- The problem is that owners can only cut so much of a facility's emissions by increasing efficiency, so a lot of the reduction could have to come by "going outside the fence," such as by deepening the use of renewable energy, improving grid efficiency and encouraging customers to use less electricity.
- Trying to compel operators to rely on such external measures could run afoul of what the government is allowed to do under the Clean Air Act.
- ETFs: KOL, XLU, IDU, VPU, RYU, PUI, UPW, FXU, SDP, PSCU, FUTY, UTLT
- Coal Tickers: PCXCQ, BTU, WLT, CNX, ACI, ANR, JRCC, YZC, ARLP, AHGP, NRP, PVR, PVG, PVA, OXF, CLD, WLB, RNO
- Utilities: ED, POM, PEG, FE, NST, UTL, ETR, EXC, D, NU, PCG, DUK
May 1, 2014, 12:48 PM
- New Jersey utility Public Service Electric & Gas (PEG -1.9%) says it reached a $1.22B settlement for a scaled-down version of its Energy Strong grid-hardening program.
- The original $3.9B proposed project had been opposed by the state rate-payer advocate, AARP and other groups that felt it was too costly and would not have had its intended benefits.
- The agreement calls for PSE&G to recover $1B from the project - i.e., the amount to be passed on to customers; the utility says it will not seek recovery for an additional $220M in planned upgrades.
May 1, 2014, 7:34 AM
Apr. 15, 2014, 10:22 AM
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