Natural gas futures faltered on Tuesday, snapping a furious two-day rally as Tropical Storm Nicole gathered strength, approached Florida and threatened to evolve into a demand-destroying hurricane this week.
At A Glance:
- Production at 96.5 Bcf/d
- Uneven weather outlook
- Storage situation improves
Following a 54.4-cent surge in the previous session, the December Nymex gas futures contract settled at $6.138 on Tuesday, down 80.6 cents day/day. January dropped 72.0 cents to $6.524.
NGI’s Spot Gas National Avg. followed suit, shedding 25.0 cents to $3.930.
Production on Tuesday held steady around 99 Bcf/d, as it has for much of November, down from October’s record highs above 101 Bcf/d. Weather forecasts, meanwhile, point to widespread cold by mid-November, a development...