This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Climate Bill Stalls Natural Gas Vehicle Stock

SEAL BEACH, Calif. ( TheStreet) -- Politics is always a volatile factor when it comes to moving stocks either up or down, and Clean Energy Fuels (CLNE - Get Report) was feeling the negative pressure on Monday.

The stalled climate bill in Washington D.C. was the reason for the volatile trading in Clean Energy Fuels shares.

Clean Energy Fuels is a supplier of natural gas and natural gas fueling stations for natural gas powered vehicles. Clean Energy Fuels is a notable alternative energy play of T. Boone Pickens, who is the largest shareholder in the stock.

Shares of Clean Energy Fuels were down close to 9% at midday Monday. Trading in Clean Energy Fuels shares had already passed its average volume of just under two million shares by the midday mark on Monday also.

On last Thursday and Friday, shares of Clean Energy Fuels ran up as it looked like a climate bill was set to be debuted by the Senate this week. The bill is expected to include a subsidy for public and private vehicle fleets that make the move to natural-gas powered vehicles.

Yet over the weekend, the major Republic sponsor of the bill, Sen. Linsdey Graham (R-S.C.), said he was pulling his support as a result of Senate majority leader Harry Reid's decision to put immigration at the top of the Senate's agenda.

The political chess game in Washington D.C. hit shares of Clean Energy Fuels hard as its rally last week was predicated on the quick introduction of a climate bill including a subsidy for natural gas vehicles. T. Boone Pickens had previously stated that a bill would be passed before Memorial Day, helping to fuel a run up in natural gas vehicle stocks.

A bill with 140 co-sponsors that would provide a subsidy for natural gas vehicles making the vehicles as inexpensive as conventional fuel vehicles was expected to be added to the climate bill as a way to get the political powers-that-be to stomach the cost of subsidizing the natural gas vehicle market. Otherwise, a stand-alone natural gas vehicle subsidy would encounter resistance in a federal political atmosphere dominated by the rhetoric of cutting costs.
1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
CLNE $4.71 0.00%
WPRT $2.60 0.00%
AAPL $117.81 0.00%
FB $105.45 0.00%
GOOG $750.26 0.00%


Chart of I:DJI
DOW 17,798.49 -14.90 -0.08%
S&P 500 2,090.11 +1.24 0.06%
NASDAQ 5,127.5250 +11.3820 0.22%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs