UPI reached new all-time highs (Week 34-2026)

Broader View

The UPI reached new all-time highs. Once again, Asian companies led the rally. Fifteen of the index’s constituents rose, five fell, and one remained unchanged. The median price movement was 3.04 per cent.

Of particular note is the above-average trading volume that accompanied the rise. This is mainly linked to rising stocks breaking resistance levels (including key levels). This suggests that the upward trend is likely to continue.

The geopolitical situation remains unchanged; the Strait of Hormuz is still inaccessible to shipping. Asian LNG prices rose, Reuters reported. “The Strait of Hormuz remains largely closed. We estimate around 33 LNG cargoes have exited in the last six months, averaging around five per month, compared with more normal levels of 90 to 100 per month. There is no immediate resolution in sight,” said Alex Froley, senior LNG analyst at data intelligence firm ICIS.

Due to El Niño, shipping through the Panama Canal will also be restricted from September. This may play into the hands of European demand for restocking: “Europe has lost flexible US LNG cargoes to Asia over the summer. Europe accounted for only 51 per cent of US exports between March and July 2026, down from 67 per cent in the same period of 2025, whilst Asia’s share rose to 29 per cent from 16 per cent, according to ICIS ship-tracking,” said ICIS’s Froley. A further decline in spot rates for LNG tankers could also contribute; according to Spark Commodities, these have fallen to 21,000 dollars per day for the Atlantic and 61,000 for the Pacific.

Constituents

Four Asian companies posted double-digit gains: three Japanese and one Chinese.

COSCO Shipping Energy Transportation (SS: 600026) recorded the highest growth, rising by 17.25 per cent. In its case, however, this does not represent a new high, but rather a break in and potential reversal of the downward trend. This rise has brought it back into the support zone that it broke through at the beginning of July. Nevertheless, this is better than we had anticipated based on the chart in our previous analysis, as it was more likely that this was merely a correction within the downward trend.

Mitsui O.S.K. Lines (TSE: 9104) was the top performer among Japanese companies, rising by 12.5 per cent. However, despite above-average volume and a smooth rise, it remained just within the magnetic resistance zone of the March wick. This is not the case for the other two companies. “K” Line (TSE: 9107) had already broken through the magnetic resistance the week before last, so nothing stood in its way this time. It rose by 12.4 per cent. NYK Line (TSE: 9101) also rose smoothly, much like its counterpart, on above-average volume. Its rise reached 11 per cent.

Three companies rose by more than five per cent: Excelerate Energy (NYSE: EE), ADNOC Logistics & Services (ADX: ADNOCLS) and BP (NYSE: BP). Excelerate Energy, up 7.4 per cent, reached the upper end of its trading range, as did BP, which rose by 5.24 per cent. ADNOC continued to rise and set new highs on above-average trading volume. It rose by 6.7 per cent.

FLEX LNG (NYSE: FLNG) rose by 4 per cent following its quarterly results and even attempted to break through to new highs during the week. This was driven by a very strong second quarter, characterised by high spot rates (two out of 13 vessels) and 100 per cent utilisation of its tankers. This enabled the company, among other things, to increase its cash reserves, which had been reduced in the first quarter due to low spot rates and scheduled maintenance on three tankers. This cash plays a key role in maintaining the current dividend, which has once again been declared at $0.75 per share.

Tsakos Energy Navigation (NYSE: TEN) attempted to break through resistance and thereby pave the way to new highs. It was unsuccessful, with the share price remaining within a sideways trend, yet it still posted a 3 per cent gain. Indeed, since July, it has been slowly moving from the lower to the upper edge of the range so that further attempts may follow.

Shell (NYSE: SHEL) also tried to break through resistance. Unlike Tsakos, it not only posted higher growth (3.16 per cent) but also closed even closer to the resistance level. Essentially, it now has ‘only’ the magnetic resistance level left to overcome, which stands at $94.9. Last week, the highest price was $94.7, but it eventually fell to $93.33. Trading volume remained below average.

Chevron (NYSE: CVX) rose by 2.64 per cent and continues its steady climb towards the March resistance level.

Further gains were smaller. MISC (KLSE: 3816) added 1.6 per cent, though its rise is significantly more volatile. It spent both summer months returning to a sideways range following a slump and has finally reached it. This should lead to the price stabilising and a decision on its next direction.

PAN Ocean (KRX: 028670) gained one per cent. It, too, attempted to rise above resistance during the week and even breached it, but was unable to overcome the ‘magnetic resistance’ and returned to the sideways range. It remained close to the upper boundary, however.

Korea Line Corporation (KRX: 005880)’s attempt to break out of the sideways range – to which it had fallen from its wartime highs – looked somewhat similar. Its range is above last year’s price levels.

Dynagas LNG Partners (NYSE: DLNG) appears to have completed its preparations for growth and a breakout above resistance. Although it rose by just 0.26 per cent, it now ‘only’ needs to overcome magnetic resistance to break through. The candlestick pattern suggests a willingness to rise, so we’ll see if this happens and with what result. Higher prices are crowded by previous activity; however, the $4 mark does not seem unattainable.

Among the decliners, we’ll mention three companies. New Fortress Energy (NASDAQ: NFE) plummeted by 15 per cent to new lows. ALNG (OSE: ALNG) fell 5.35 per cent; however, this is a sideways move for this interesting company, which is working to expand its operations to include gas trading.

NAKILAT (QSE: QGTS) is heading towards its lows, naturally due to the closure of the Strait of Hormuz. Although LNG production is ongoing, the gas cannot be shipped to customers and is therefore being stored for later use. Tankers have been transferred to the spot market; despite the moderate liquefaction rate, they may later be used as floating storage facilities.

Crystal Ball

Qatar has been temporarily sidelined among the conflict’s losers because of industrial damage to its facilities, and the UAE seems to také its position. U.S. LNG exporters emerge as the clear winners. European importers were shielded from spot price increases thanks to predominantly long-term U.S. contracts. However, these contracts are not sufficient to replenish inventories for the winter, and European companies must return to the market despite Qatar’s continuing export restrictions. We expect most of the rising U.S. gas production to flow toward Europe. New global LNG producers should also benefit from this conflict, as energy source diversification becomes more important than ever—provided importing economies remain healthy enough to absorb higher energy costs.

The outlook remains volatile, but positive in the long term. The gradual phasing out of steamers and the addition of new liquefaction capacity will continue to drive the sector forward.

About UPI

Established in 2020, the UP World LNG Shipping Index is a rules-based family of stock indices designed to measure the performance of publicly traded companies worldwide engaged in the maritime transportation of liquefied natural gas (LNG). This unique index comprises 21 companies and partnerships worldwide, representing more than 65% of the global LNG carrier fleet in 2020. The UP Index provides premium services, offering freemium and trial access to charts. With the Freemium plan, users can access the basic UP Index vs S&P 500 chart after completing email registration. The trial includes full access for fourteen days.

Final Note

This report primarily relies on technical analysis using weekly data. The summary section is AI-generated.

Disclosure: The author holds beneficial long positions in the shares of ALNG, FLNG, GLNG and NFE, whether through share ownership, options, or other derivatives. This report was prepared in-house and reflects our own opinions. We have received no compensation for it and have no business relationship with any company whose shares are mentioned herein.

Disclaimer: This report is provided for informational purposes only and does not constitute investment advice, nor a recommendation or solicitation to buy or sell any securities. It relies primarily on technical analysis using weekly data. Readers should conduct their own research and consult a qualified financial adviser before making any investment decisions.