Bill Burson

August natural gas is expected to open 5 cents lower Tuesday morning at $3.80 as traders focus on downside trading objectives, another 10 cents lower than Monday’s weak settlement. Overnight oil markets rose.

Physical natural gas prices for Wednesday delivery were mostly unchanged in Tuesday’s trading. A few New England points saw some double-digit increases, but market areas in the Midwest and Great Lakes saw prices flat to a few pennies lower despite weather forecasts calling for significant near-term cooling.

August natural gas is expected to open 8 cents lower Monday morning at $3.87 as traders factor in forecasts of still more cooling with risks to the forecast cooler still. Overnight petroleum markets rose.

Spot gas for Tuesday delivery was mixed in Monday’s trading with Northeast and East points posting hefty gains, driven by expected heat and higher power requirements, while at the same time producing regions fell into the loss column.

August natural gas is set to open flat Friday morning at $3.95 as market bulls grope for any signs of a change in the weather landscape that might slow the present restoration of storage. Overnight oil markets were mixed.

Physical natural gas for weekend and Monday delivery continued to trudge lower in Friday’s trading, partly motivated by a need to play catch-up to Thursday’s screen declines, but weather forecasts continued to call for seasonal temperatures across a broad swath of the country.

It has been a summer of discontent for natural gas bulls and the market did little to change that for the week ended July 18. The NGI National Weekly Spot Gas Average fell 11 cents to $3.90.

Natural gas futures had the trajectory of a coyote falling off a cliff in a Saturday morning cartoon and posted a new six-month low following the release of government storage figures that were well on the high side of what the market was expecting.

Physical gas for next-day delivery fell hard and fell often and didn’t need any help from the stricken futures market as most traders made a concerted effort to get their deals done ahead of the morning Energy Information Administration (EIA) storage report.