Midday Commentary: Market up despite mixed data; Vanguard Natural Resources plans unit sale

By Stephanie N. Rotondo

Phoenix, Nov. 26 - Preferred stocks were again firm on Tuesday, even with the presence of mixed economic data.

As of mid-morning, the Wells Fargo Hybrid and Preferred Securities index was up 22 basis points.

One trader said he had expected some weakness to seep in, given that consumer confidence had fallen to its lowest point since April. He also noted that new housing data was mixed, with one report indicating single-family home prices had risen and another saying they had slipped.

Overall liquidity was also muted, due in part to Thanksgiving on Thursday. Hanukkah begins Wednesday evening as well.

"This whole week is going to be dead," the trader said.

Vanguard Natural Resources LLC said Tuesday that it was launching an "at-the-market" sale of up to $250 million 7.875% series A cumulative redeemable perpetual preferred units. Proceeds from the sale could be used to pay down debt.

The units (Nasdaq: VNRAP) ended Monday's session at $26.50.

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