After dropping 20 cents lower in Tuesday morning trade as traders acknowledged high interest in hedge selling by producers and other physical market longs, the December natural gas futures contract rallied in the afternoon to close virtually unchanged from Monday. The prompt-month contract ended up closing Tuesday’s regular session at $4.264, down seven-tenths of a penny from Monday.
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After dropping to a new low for the move at $3.448 during Tuesday’s regular session, May natural gas futures were a little more reserved on Wednesday as traders debated the market’s next move. The prompt-month contract finished Wednesday’s regular session at $3.532, up 2.1 cents from Tuesday’s close.
After dropping less than a nickel on Monday, April natural gas futures rebounded on Tuesday, but traders and analysts were quick to note that a sustained tally was unlikely. The prompt-month contract closed 13 cents higher on the day at $4.282.
Richmond, VA-based Dominion Resources Inc. has affirmed its 2008 earnings guidance of $3.10 to $3.15 per share while dropping both its 2009 guidance and spending plans. The company said it has “more than adequate liquidity,” but given the current macroeconomic situation will be cutting $350 million from capital expenditures and reducing some nonfuel operating and maintenance expenses.
Richmond, VA- based Dominion Resources Inc. has affirmed its 2008 earnings guidance of $3.10 to $3.15 per share while dropping both its 2009 guidance and spending plans. The company said it has “more than adequate liquidity,” but given the current macroeconomic situation will be cutting $350 million from capital expenditures and reducing some nonfuel operating and maintenance expenses.
A strengthening U.S. dollar and a weakening oil complex dealt the natural gas futures market a one-two combination Friday, dropping September to a new low of $8.215 for the downmove, which began after August futures peaked at $13.694 on July 2. The prompt month contract finished at $8.248, down 32.3 cents for the session and off a whopping $1.141 for the week. The October contract also took it on the chin, suffering a loss of 32.9 cents and $1.164 for the day and week, respectively, to finish at $8.330.
After dropping $4.493, or 33%, over the last three weeks of trading, August natural gas futures took a little bit of a break Monday as traders assessed the current sub-$10 price level and the market’s likely next move. Starting out the week, the front-month contract gained 7.9 cents to close at $9.163 one day ahead of expiration.
After dropping $3.15 — or 23% — through Thursday from the move’s high back on July 2 of $13.694, August natural gas futures were given a rest on Friday as the contract closed at $10.570, up 3.3 cents on the day but $1.334 lower than the previous week’s close. Trading on Friday was more notable for what was missing on the day, which was an expected round of short-covering ahead of the weekend due to concerns surrounding numerous tropical disturbances and East Coast heat.