Where Cheniere Energy Could Trade in the Next 7 Days
Cheniere Energy’s (LNG) 30-day implied volatility was 30.9% as of April 10, 2018, which is lower than the 15-day average of 36.5%. In comparison, the Alerian MLP ETF (AMLP) has an implied volatility of 23.6%. Cheniere Energy’s higher implied volatility compared to AMLP is mainly due to its export-led business and the fluctuation in global LNG (liquefied natural gas) prices. However, Cheniere Energy’s exposure to global LNG prices is expected to come down following recent sale and purchase agreements.