Between winter weather that finally was starting to moderate forreal and the normal load decline associated with a holiday weekend,most traders were confident that Friday’s cash market would befalling substantially. Imagine their surprise at an overall flatperformance that even included modest upticks at a few Gulf Coastpoints

The only big declines of 15 cents or more came at Northeastcitygates, even as the region struggled under an ice storm thatcaused power outages, school closings and many traffic accidents.The drops brought Texas Eastern M-3 and Transco Zone 6-New YorkCity numbers well below their respective January indexes of $2.18and $2.43, while non-NYC Zone 6 settled just above its $2.09 index.The Northeast had been the only market still trading substantiallyabove index last week

The consensus among several sources was that so many buyers werepoised to pick up anticipated gas bargains Friday that they keptdemand relatively strong. “Maybe it was a result of too manyexpectations of lower prices clashing,” a marketer suggested

Calling the Chicago market “a real tug-of-war,” one trader saidbuyers thought things were going their way when the first citygatedeal was done at $1.80, almost a nickel down from Thursday. Sellersheld out, however, he added, and managed to push prices back up toaround $1.90 by the nominations deadline. He had hoped to get somesupply at the discount prices but backed off when prices ran

Despite no futures trading Monday, a fairly large number ofsources indicated they would put in office appearances that day. ATexas marketer said it had done “a couple” of three-day dealsFriday but that the rest were all traded through Tuesday. Virtuallyall business Friday was done on a four-day basis, other traderssaid

With moderate weather expected to be well established in mostregions as cash trading resumes today, it’s easy for many to expecta much weaker cash market. A producer in Houston wasn’t so sure,though. It seemed to him that if prices were going to plunge, thelogical day for it to have happened was Friday

A Western marketer reported hearing February basis of plus 14 atthe Southern California border and plus 3 at Malin. Except for ashort-lived cold blast in December, he said, California has seenabove-normal temperatures most of the winter, and that trend lookslike it will continue for the near future. Historically January isthe largest demand month for PG&E core customers, the marketeradded, “but it sure doesn’t seem like it [now].

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