Chillier

Apparently cash traders weren’t quite as impressed Tuesday with the forecasts of significantly chillier temperatures in several areas later in the week as they had been a day earlier, because prices fell at most points outside the Northeast. The traders were finding some sections already set to start rebounding from the most recent blasts of cold, and new forecasts Tuesday tended to be a bit less severe than those that began the week.

A 5.4-cent rise in May futures on the previous Friday was abetted by moderately chillier weather that developed over the weekend and the return of industrial demand from its typical weekend hiatus in causing prices to range from flat to about a dime higher at nearly all points Monday.

A 5.4-cent rise in May futures on the previous Friday was abetted by moderately chillier weather that developed over the weekend and the return of industrial demand from its typical weekend hiatus in causing prices to range from flat to about a dime higher at nearly all points Monday.

After generally leveling off Wednesday, the market recorded small gains at a large majority of points Thursday. Forecasts indicated that chillier conditions would be returning in some areas by the end of the weekend, although nothing like a revisitation of the frigid cold snap that dominated late December and the first half of January was expected.

Cash prices fell across the board Wednesday as the influx of chillier weather in northern market areas that had boosted quotes Tuesday proved to be short-lived. Tuesday’s June futures decline of 5.6 cents was another bearish influence on the physical market Wednesday.

Prices realized double-digit increases across the board Wednesday, propelled by rising heat levels in the West, chillier weather in the Midwest and the previous day’s 12.1-cent advance by June futures.

The cash market was up strongly at all points Monday, responding to a fair amount of current heating load and the prospect of a lot more arriving before the end of the week. The return of normal industrial demand from the weekend also played a part, and a Monday morning screen spike provided some upward impetus for late cash deals, although natural gas futures later gave back much of its morning gain.

It’s getting hot again in the Southwest and even chillier in the Midwest and Upper Plains. Those fundamental weather boosts, along with increased interest in storage buying while prices are still relatively low, were enough to generate a rally throughout most of the cash market Monday, despite lingering power outages and/or mild weather dampening demand in the Mid-Atlantic and Northeast.

A moderate spreading of chillier weather helped keep most eastern points nearly flat, but ranging from about a nickel higher to a dime lower Tuesday. There was a mild bias to the slightly softer side. Meanwhile, despite a new storm moving into the generally sparsely populated upper regions of the West, softening by a nickel or more dominated there.