Natural Gas Futures, Cash Prices Post Steep Losses as National Demand Proves Elusive

• Natural gas futures failed to sustain momentum Tuesday as fresh signs of benign weather and weak demand overshadowed a drop in production.

At A Glance:

• Production falls to 97 Bcf/d
• Forecasts for mixed demand
• NGI models draw of 41 Bcf

Following a 67.1-cent gain to start the week, the December Nymex gas futures contract on Tuesday settled at $5.714/MMBtu, down 64.1 cents day/day. January fell 52.7 cents to $6.080.

NGI’s Spot Gas National Avg. dropped 41.5 cents to $3.970 as forecasts pointed to warm weather delaying the heating season.

As trading got underway Tuesday, both the American and European weather models dropped forecast demand over the prior 12-24 hours, according to NatGasWeather.

The outlooks signaled warmer trends next Monday through Nov. 11, with the data...