As traders weighed a bearish weather outlook domestically against new developments on the overseas supply crunch, natural gas futures fell sharply in early trading Monday. The November Nymex contract was down 24.0 cents to $5.170/MMBtu at around 8:45 a.m. ET.

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The major weather models experienced some volatility over the weekend, according to Bespoke Weather Services. The American and European datasets showed a significant drop in demand on Saturday before reversing course Sunday to leave the outlook “close to unchanged” overall.

“Amidst the chaos in the modeling, the overall theme of a lower demand regime holds, as any variability we are seeing, even in the cooler model runs, simply brings us close to normal for a few days here and there,” Bespoke said.

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