Most prices kept falling Thursday but at a slower rate of decline than on Wednesday. Citing lower weekend load and the prospects for milder weather, a number of traders expect more softness today.

Generally the declines were between seven cents and dime, with somewhat larger losses in the Rockies and Northeast. Smaller drops at Stanfield, the PG&E citygate and Southern California border-SoCalGas made them the rare non-participants in the overall price weakness.

Although it crept back up during the afternoon to post only a small loss on the day, the May futures contract spent most of the morning cash trading period more than a nickel lower.

A Gulf Coast marketer reported that people in northern states were still buying fairly heavily. “That kind of surprised me because it was supposed to start warming up by now.” Temperatures were still remain unseasonably chilly Thursday in the Northeast and Southeast, but warmups were getting under way in the South and Midwest, according to one forecasting service. The Northeast should follow suit by the weekend, it said.

San Juan-Blanco was a wild ride Thursday, according to a marketer who began the morning trading in the $4.20s and $4.30s but then quoted $4.60 and $4.90 in late deals done via an online trading service. It seems some people waited around during the early lower pricing and then got caught short and had to ante up, she said.

Most sources indicate that little May business is being conducted yet. However, one reported PG&E citygate basis at plus $6.50-7.00, which would generate a fixed price range of approximately $11.60-12.10 based on Thursday’s Nymex closing. A producer said San Juan basis was getting weaker as traders anticipate the typical May-June situation of more competition from extra Rockies supplies trying to reach the California market.

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