It was time to get out the smelling salts again Tuesday torevive traders swooning from the altitude of Northeast citygates.Quote averages zoomed higher by more than $2 at a few points, andone source reported hearing that intra-day numbers for deliveriesinto the Boston area via Tennessee and Algonquin peaked at $10.

Much like last week, the rest of the market could only gaze atthe Northeast price explosions in awe and go on about its ownconsiderably more sedate business. However, Tuesday’s price hikesin the Gulf Coast and Midcontinent tended to be stronger than lastweek’s, ranging from around a nickel to a dime. The weakestmarkets, flat to barely softer, were California and the PacificNorthwest/western Canada.

The general market was getting a little more support both fromcold weather in the northern states and from a gas futures screenthat rose a little more than 6 cents. Also, there are rumors that acouple of major players are short on physical gas in the GulfCoast, one trader said. Tennessee’s South Texas pool has been shortsince the first of the month and as a result is priced at a slightpremium to Texas Eastern and Agua Dulce.

Another supportive factor for gas prices is the dazzling rise ofcrude oil futures, which soared more than 80 cents in the Februarycontract to leave it just 15 cents shy of $29/bbl. But despite theexpensive levels of crude, a Northeast-oriented marketer said he isseeing a mixed bag of fuel switching among power generationcustomers. Because of the engineering process involved, it’s not adecision that is made lightly, he said, and with prices high forboth crude and gas in the Northeast, “that makes it even a toughercall than usual.”

Despite the high prices, one marketer considered the Northeastmarket “relatively calm” Tuesday because trading ranges rarelyexceeded $2-3. “In the past, cold weather like this would havecaused a lot more volatility,” she said. She and another sourceagreed that it looks like Northeast prices may remain strong forthe rest of the week “as long as the weather sticks around.” But adownturn could begin as early as Friday due both to the usual slumpin weekend demand and the National Weather Service’s predictionthat by Sunday Northeast temperatures will be back to above normal.In fact, according to NWS, the only area of the U.S. expected to bebelow normal in the first half of next week is Oregon and NorthernCalifornia.

Basis for February is getting a bit firmer, said a trader whoreported Texas Eastern-East Louisiana narrowing to minus 3.75.

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