7 replies to this topic

[eminimee]

Another high here and there is going to be a wait....maybe a long one.

http://stockcharts.com/c-sc/sc?s=$UTIL&p=D&yr=1&mn=6&dy=0&i=p20523916332&a=88068608&r=3610.png

[dcengr]

Tea..

What about 2000 era utilities?

http://stockcharts.com/c-sc/sc?s=$UTIL&p=D&st=1999-01-01&en=2001-01-01&i=p96541223597&a=121421129&r=8627.png

[eminimee]

good point...may have been because of liquidity that upset the rule....Fed injection after Asian contagion?...Y2K? Or it just isn't a rule anymore and "THEY" have to rewrite the rule...UTIL has been trading like a nas stock!

http://stockcharts.com/c-sc/sc?s=$UTIL&p=M&st=1980-06-01&i=p59329973828&a=121422141&r=7122.png

Edited by Teaparty, 04 November 2007 - 02:18 PM.

[dcengr]

Tea, I think utilities are going up because income players are shifting into them.. I know of 3 stock dividend sources... REITs Financials Utilities The first 2 took a crapper, so naturally, they're shifting into the one that's standing. If a recession hits, energy consumption will dump and utils will also dump too is my guess... but also the price of energy could really kill utils as well. All FWIW..

[fib_1618]

If a recession hits, energy consumption will dump and utils will also dump too is my guess... but also the price of energy could really kill utils as well.

Energy consumption has very little to do with how Utilities trade. However, all three of the sectors that you've mentioned do have one thing in common...I'm sure you know what that is, and this would fully explain the rally in the 2000/2001 period before deflation took over.

Fib

[dcengr]

You must be talking yield.. But I do think some utilities are affected by price of oil, coal, etc. Electricity prices are regulated by the government, so its not easy for them to raise our rates if energy commodities go up. The question I do not have a clear answer to.. why people say utilities top before broad markets? Is it just an observation or some fundamentals tied to it?

[fib_1618]

The question I do not have a clear answer to.. why people say utilities top before broad markets?

You just answered your own question in your reply.

Fib

[vitaminm]

util current trend to 573