Following up on this morning's post on the coal biz,
from the AP via Yahoo:
Coal Producers Rise As Analyst Says Demand Will Continue After Int'l Supply Problems Diminish
Coal producers soared Thursday, reversing losses from a day earlier as Friedman, Billings, Ramsey analyst David Khani said that demand should outpace supply even after recent international supply problems are resolved.
"The popular belief is that the primary pricing momentum was driven by 'one-time' weather events in Australia, China and South Africa and that coal producers would be unable to realize those prices," he said in a client note. "We, on the other hand, continue to believe that these events provided notice about a coal shortage caused by rapid demand growth outpacing supply.">>>MORE
Peabody Energy (BTU) was up $3.67 or 7.24%. Something some may find counterintuitive, BTU has soundly outperformed the Wilderhill Clean Energy ETF over the last year. Here's the chart.
Last April we pointed out an academic reason this would happen. The post made enough sense that the markets editor of the WSJ.com (despite his green proclivities and having a better grasp of markets than any journalist I've come across) put us at the top of the Energy Roundup's blogroll that day. And we like green.
(at a price)
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