The UP World LNG Shipping Index, the world’s only stock index focused on LNG shipping companies, added 0.63% last week. U.S. stocks represented by the S&P 500 index gained 3.65%, says an article published in Hellenics Shipping News.
UP world index
UP Index was pushed down primarily by Asian stocks but still closed in the blacks. Two minor constituents from Norway gained 14.6% (Awilco LNG, OSE: ALNG) and 13.3% (Cool Company, OSE: COOL). The rest of the constituents was closer to the Norwegians than the Japans.
Chart of the UP World LNG Shipping Index and S&P 500 Index shows signs of optimism. SPX pushed the UP Index lower for three weeks, and now the UP Index can use the momentum of rising markets.
Increasing demand
Autumn and winter are the strongest seasons for LNG shippers. Due to Europe demand and Russian aggression on Ukraine, the world demand for LNG is increasing continuously. Russia has to liquefy its natural gas to offer it to the new Asian markets; it is not so easy as sending it via the existing pipeline in Europe. Japanese companies join the Russian projects, but missing the US and European technologies might cause problems for Russian LNG export.
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Source: Hellenics Shipping News
