Belies

The integrated majors’ strong cash flows appear unstoppable for now, but their prosperity belies formidable challenges to replace their reserves, grow their production and control costs, Moody’s Investors Service reported last week.

The integrated majors’ strong cash flows appear unstoppable for now, but their prosperity belies formidable challenges to replace their reserves, grow their production and control costs, Moody’s Investors Service reported Wednesday.

After carving out a 19-cent range in the first 90 minutes of trading, the natural gas futures market moved quietly sideways Tuesday as traders deliberated over the clash between short-term bearish factors and longer-term (bullish) uncertainty. The June contract closed at $6.056, up 4.1 cents for the session, and more than 15 cents above its morning low at $5.90. At just 57,635, estimated volume Tuesday indicated a quiet futures pit with action led by local traders.

After suffering a 9-cent setback late Wednesday afternoon,natural gas futures held their ground Thursday as traders electedto play it safe ahead of the holiday weekend. The May contractchecked to either side of unchanged, but ultimately finished inpositive territory, up 1.8 cents at $3.073. A narrow 4-cent tradingrange and a modest 54,989 in estimated volume were evidence of thequiet trade Thursday.

In what may turn out to be a Pyrrhic victory, bulls weresuccessful on two fronts Friday — testing resistance at $3.00 andposting a gain for the third straight session. However, thoseachievements may have come at a price because even dyed in the woolbulls were shaking their heads after watching heavy selling enterthe market once prices reached over the $3.00 mark.