Last week, the UP World LNG Shipping Index (UPI) lost 1. 54 points or 0.94%, closing at 162.18 points. This index tracks the performance of LNG shipping companies. The S&P 500 (SPX) index, representing U.S. stocks, experienced a gain of 1.84%. You can find both indices in the image below.
The UPI corrected slightly after reaching a new all-time high but closed above the previous high. The rising tension in the Red Sea and warm winter have affected the LNG shippers. Though most UPI constituents and UPI itself saw a drop, there were a few gainers, including Korea Line Corporation (KRX: 005880), which finally held the achieved price level until the week’s close. The gain was 18.5%, and the closing price is slightly above the highs of previous weeks.
Capital Product Partners (NASDAQ: CPLP) was the second top gainer, which still holds the uptrend that started on December 25. This was the third growing week in a row, and a rest should arrive now. Nakilat (QSE: QGTS) was the third major gainer with a growth of 3.4%. Its rise started from a support line one week before the year ended.
Two minor gainers should be noticed. Excelerate Energy (NASDAQ: EE) gained 1%, but more importantly, this rise slowed the previous breakthrough support line. Dynagas LNG Partners (NYSE: DLNG) is pushing its price up slowly but with very low volume. Both are in an ambiguous situation.
The biggest loser was Cool Company (NYSE/OSE: CLCO). In Oslo, it lost 4.1%, and the NYSE declined by 7.6%. UPI calculations are based on Oslo prices, but as most of the volume is traded on NYSE, we will change Oslo to NYSE during the nearest rebalance, which will occur at the end of January.
The second major decliner was Flex LNG (NYSE/OSE: FLNG), which lost 3.2% after reaching a resistance level a week before.
In summary, LNG shippers are in good condition, and the correction of UPI is mostly a reaction to the previous rise.
About: UP World LNG Shipping Index, established in 2020, is a rules-based stock index family designed to show and measure the performance of worldwide publicly traded companies involved in the maritime transport of liquefied natural gas (LNG). This unique index covers 18 companies and partnerships worldwide, like the USA, Qatar, Japan, Norway, South Korea, and Malaysia. The index covered over 65% of the world’s LNG carrier fleet in 2020. UP Index is a premium service. We offer freemium (the basic chart of the UP Index and S&P 500 index) and trial access to all charts.
Source: UP-Indices.com