Could a change in natural gas trading behavior be amiss? Bears on Monday managed to take out a key psychological level of support amid robust supply and a steadily improving storage picture. The November Nymex gas futures contract settled at $6.435/MMBtu, off 31.3 cents from Friday’s close. December futures slid 26.3 cents to $6.784.

At A Glance:

  • Production holding near 100 Bcf/d
  • Storage deficit to tighten dramatically
  • Cold driving big New England cash gains

Spot gas prices posted a mix of moderate gains and losses, with the exception of the Northeast, where next-day gas was sharply higher. NGI’s Spot Gas National Avg. edged up 7.5 cents to $5.550.

With production near 100 Bcf/d and little in the way of weather demand to significantly move the price needle, bulls had a...