KEYUF - Midstream Captures More Downside
The slow bleed in midstream continued this week. MLPs again lagged broader the Midstream Index ((AMNA)), because of Canadian midstream and a few large U.S. corporations. Higher commodity prices and strong broader equity market trading weren't enough to get midstream moving higher, as midstream-specific concerns over producer counterparty risk and slowing growth trumped the market's positivity.
Interest rates also spiked, which hurt yield-based equities like utilities and REITs, and probably didn't help midstream, either. It was another week when it felt like midstream can only capture downside in the market. Oil prices up, stock market