Kind of a Soft Close Today

The equity close today was kind of soft–but not in a panic sort of way. Tomorrow should see less movement, but I wouldn’t be surprised to see a mildly down opening–assuming we don’t have new reports of large virus outbreaks in the U.S., or Europe (or Africa) overnight in which case it’s anyone’s guess.

There were lots of preferreds down 1-2% today–in lodging REITs, energy shippers and even in the CHS (Cenex Harvest States) issues–which were over valued anyway.

Shippers were off 36 cents today–with LNG shippers really slammed. Golar LNG Partners 8.75% preferred (GMLPP) was off $1.08 to close at $20.97. Shares were at $26 only 3 weeks ago. I see the company announces earnings tomorrow. They had other negative news in late January which is buffeting these shares as they opened a large ‘at the market offering’ of these shares.

We end the day down 19 cents on the average $25 preferred and baby bond. Banks were off 19 cents, Investment grade off 16 cents, mREITs just 5 cents with CEF preferreds off just 7 cents.

$25 issue prices are now lower than anytime since late December.

2 thoughts on “Kind of a Soft Close Today”

  1. Well, let’s hope the shopping time comes soon. Personally I am slightly tired of sitting on cash.

    1. I’m kind of cautious about ‘buying the dip’ as one these times ‘buying the dip’ will not work very well. Everybody and his uncle wants to do it, because it has worked so well for a very long time. I have entered orders, but at significantly lower levels. If I don’t get executed—so be it. Better safe than sorry.

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