Natural gas futures on Tuesday extended the ferocious rally launched a day earlier, hitting a high point for the year, as traders fixated on supply/demand imbalance concerns and cash prices continued to escalate. The October Nymex contract gained 2.9 cents day/day and settled at $5.260/MMBtu. A day earlier, the prompt month soared nearly 30 cents. November advanced 3.2 cents on Tuesday to $5.305.
At A Glance:
- Nicholas looms as output threat
- Cooling demand holds strong
- Cash prices post solid gains
NGI’s Spot Gas National Avg. rose 12.5 cents to $5.350. Cash prices climbed 36.5 cents on Monday.
Tropical Storm Nicholas made landfall in Texas overnight Monday — after briefly reaching hurricane status in the Gulf of Mexico (GOM). Forecasters warned of storm surges and flooding...