For the second week in a row, the Energy Information Administration (EIA)’s weekly natural gas storage inventory report surprised to the downside, showing a much smaller-than-expected 114 Bcf withdrawal from stocks for the week ending Dec. 25.

EIA storage Dec 25

However, natural gas market bears who were hoping to pop champagne after the EIA report were disappointed, as prices actually held fairly steady. The February Nymex futures contract was trading 4.0 cents higher day/day at $2.462/MMBtu in the minutes leading up to the EIA report. Prices slipped to $2.459 just after the EIA print hit screens and by 11 a.m. ET, the prompt month was at $2.472, up 5.0 cents from Wednesday’s close.

“Despite the bearish number, looking at price action, it looks like we can easily close above $2.51 for...