Price changes continued to be mixed for a second straight day Tuesday, but slight downturns remained slightly dominant. A small retreat of high temperatures coming Wednesday in parts of the South, along with mild forecasts for the Northeast, Midwest/Midcontinent and Rockies, were abetted by the previous day’s decline of about a nickel by September futures in sending a small majority of cash points lower.
Downturns
Articles from Downturns
Analysts: Consumer Demand Impact Could Linger
The recession has been impacting gas demand among residential and commercial consumers to a degree not seen in previous downturns, according to analysts at Barclays Capital. What type of recovery can be expected depends upon whether decline stems from structural changes or a temporary consumer pullback “that may wash out in the year ahead,” they said.
Analysts: Effects of Weak Consumer Demand Could Be Lasting
The recession has been impacting gas demand among residential and commercial consumers to a degree not seen in previous downturns, according to analysts at Barclays Capital. What type of recovery can be expected depends upon whether decline stems from structural changes or a temporary consumer pullback “that may wash out in the year ahead,” they said.
Some Independents Could Face ‘Survival Risks’ This Fall
Independent producers have faced downturns before, but companies that are heavily leveraged — such as those that borrowed to gain entry into the cash-intensive natural gas shales and tight sands — face liquidity problems and “survival risks” without the full support of their lenders, Moody’s Investors Service reported last week.
Moody’s: Some Independents Face ‘Survival Risks’ This Fall
Independent producers have faced downturns before, but companies that are heavily leveraged — such as those that borrowed to gain entry into the cash-intensive natural gas shales and tight sands — face liquidity problems and “survival risks” without the full support of their lenders, Moody’s Investors Service said in a report Monday.
Prices Down Moderately in Initial August Aftermarket
The August aftermarket was launched Thursday with modest downturns at nearly every point. Malin, the PG&E citygate and a few Rockies points were flat to a couple of pennies higher; otherwise, declines ranged from about 2 cents to a dime.
Anadarko, Apache Rise in 2Q, But Shortfall Expected
Apparently in a move to prepare for expected downturns through the remainder of the year, Houston-based Anadarko Petroleum Corp.’s CEO said Thursday that the independent would shift some of its spending from onshore natural gas projects in the Lower 48 to “more profitable opportunities in the Gulf of Mexico and Canada.” Second quarter earnings, however, jumped on higher natural gas prices and increased production, mostly from acquisitions. Across town, rival independent Apache Corp. also had a stellar quarter, with earnings up 73%, also related to strategic acquisitions.
Northeast Jumps, Other Markets Flat Heading into Weekend
In a break from the usual price downturns associated withend-of-the-week gas trading, many markets points posted no gain orsmall increases Friday. Northeast points were the notable exceptionas expected wintery weather for the weekend caused significantprice jumps.
Late Fallbacks Indicate Price Rally is Over
The cash market made more small gains Wednesday, but downturnsin late trading at many points led sources to believe this week’sprice rally has ended, at least for the time being. Prices ran up3-4 cents at the outset but then came off hard at the tail end inresponse to the screen, said a Gulf Coast trader. As long asfutures stayed up, though, cash stayed right there with them, headded.