The UP World LNG Shipping Index (UPI) lost 0.41 points or 0.28%, closing at 147.86 points, says an article published on lng shipping stock.
Regular quarterly rebalance of UPI
This index tracks the performance of LNG shipping companies. The S&P 500 (SPX) index, representing U.S. stocks, experienced a gain of 5.85%. You can find both indices in the image below.
The regular quarterly rebalance of UPI was completed at the end of October. No components were added or removed, but the weight of constituents was adjusted based on the actual free float of shares, the ratio of LNG shipping to total revenues, and other factors.
A volatile performance
The index saw a slight weakening with a volatile performance of individual components. While American listed companies grew, Asian and European companies weakened in general. The rise of US stocks confirms the SPX.
The biggest gain was marked by Nakilat (QSE: QGTS), which rose by 4.3%, after four weeks of decline. UPI constituents often move in a trio, and there were two rising trios: The first group moved up around 3.5%, while the second rose around 2.6%.
Second rising group
The first group includes Awilco LNG (OSE: ALNG), gaining 3.7%, SM Korea Line Corporation (KRX: 005880) with a gain of 3.6%, and Cool Company (NYSE/OSE: CLCO), which rose by 3.4% on NYSE. The second rising group consists of US-listed LNG shippers: Golar LNG (NASDAQ: GLNG), Flex LNG (NYSE/OSE: FLNG), and Excelerate Energy (NASDAQ: EE). They gained 2.8%, 2.6%, and 2.3%, respectively.
Chevron (NYSE: CVX) has partially recovered from its previous decline of 13.5% and gained 2.3%. Lastly, the Japanese “K” line (TSE: 9107) gained 2%.
A significant decline
On the other hand, Exmar (BSE: EXM) suffered a significant decline of over a quarter of its value in a single week. This company is ready to go private as Saverex holds 80% of the stocks. BP (NYSE: BP) declined by 6.3%. Mitsui O.S.K. Lines (TSE: 9104) from Japan lost 4.3%. Another Japanese shipper, NYK Line (TSE: 9101), declined by 2.4%. New Fortress Energy (NASDAQ: NFE) dropped by 2.8%.
In summary, UPI’s decline was softened with the help of changed sentiment in US markets, and the rise of SPX was very strong after the FED meeting.
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Source: LNGshippingstocks
