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The first presidential debate -- -- back in focus stock soared in Mitt Romney said that.
I like coal.
I'm gonna make sure we continue to burn clean coal people in the coal industry feel like it's getting crushed by your policies.
I want to get America and North America energy independent.
But the sector's rally quickly a lot of steam as weak fundamentals to called our next guest -- called names are but I.
No matter who wins in November joining us now at Sterne Agee analyst Michael -- as they he's so much for joining us like.
You don't -- it let's get right to it natural gas the price has tanked it's Monday and there's fracking going on everywhere that's put so much pressure -- called the same time.
There's a war on -- how we can be bullish on coal might have all that.
So it's -- natural gas prices bottom below two dollars back in April now -- they they're about three dollars and forty cents and you look up for the next twelve months -- the strip.
It's close to four dollars so we've had a pretty good quiet rallying a natural gas price which.
Only because production is backed up because the price was so cheap it's still not a comparative basis natural gas looks so much more attractive to electricity providers -- -- It doesn't certain -- so we -- making if your mining coal and selling out of Wyoming -- the powder river basin actually at today's prices PRB is better.
If you look at Illinois basin at today's -- -- it's better now.
We need to see prices move higher for apple -- coal producers to -- -- -- utilities.
To get better pricing but I think you view.
Look at what's happening on the production citing gas and also we get a normal winter as opposed the very warm with me at all last year that can -- -- very helpful.
In think certain reports I -- -- -- out of coal in certain parts of West Virginia right I mean just the very little quality stuff remaining can you got -- compared with the emissions rules.
So how do you incentivize if you will some of these utilities to upgrade the facilities -- -- it continue to produce and and that put call in the market.
Suggesting back in the 1990s.
See what -- -- to reducing mean a big bet on natural gas thing was gonna stay at very low price for a long period of time and and it didn't work out that -- gas prices spiked.
-- -- you do need fuel diversity if you're trying to would create electricity -- 24/7 365 day world.
Home price will allow the demand for -- to pick up so.
-- -- sure we need to see better gas prices but right now in Illinois and in the Wyoming we could certainly see some demand pick up.
Has gas prices move higher -- President Obama gets reelected seems like that would be terrible for -- why do you not agree.
I think it's been terrible for coal.
In his administration so all the negatives of coal relative to the Obama administration's already been baked into the stocks into the fundamentals but.
If even of Obama does win.
He can control the weather.
Can't control China stimulus so there's more demand for coal and steel out of China the weather picks up.
The economy gets better those things can be helpful -- but certainly.
On the day after the election my guess the call slacks and sell off at a time Michael what are getting out -- -- -- -- like our pleasure.
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