In the wake of huge gains to start the week coinciding with the October contract expiration, natural gas futures reversed sharply lower early Wednesday as analysts pointed to signs of easing supply/demand tightness domestically. November Nymex futures were off 16.5 cents to $5.715/MMBtu at around 8:50 a.m. ET.

NGI Morning Natural Gas Price & Markets Coverage

More fireworks are likely in store for natural gas prices as traders contemplate trends in domestic balances and tightness in overseas markets with winter approaching, Bespoke Weather Services observed.

“Strong volatility is surely not done, and in fact is likely just getting started,” Bespoke said in a note to clients. “Now that October expiration is out of the way, it will be interesting to see if we begin to focus more on the data here in the U.S., or if we...