Milder shoulder season weather and continued production strength over the weekend helped pressure natural gas futures lower in early trading Monday. The October Nymex contract was off 6.6 cents to $7.930/MMBtu at around 8:50 a.m. ET.

NGI Morning Natural Gas Price & Markets Coverage

Coming off two straight day/day gains to close out last week, the front month was probing modestly higher earlier Monday morning, EBW Analytics Group analyst Eli Rubin observed.

“Friday’s gain carries the front month above the 50-day moving average at $7.97 and positions it to test higher in the near term,” Rubin said.

From a fundamental standpoint, domestic production “again challenged daily records over the weekend,” which comes as weather-driven demand this week could decline by 3.4 Bcf/d compared to week-earlier levels, the analyst...