Exception

With the exception of a few upticks, the cash market responded as expected Wednesday with declines ranging from about a nickel to more than 80 cents. The West, which had been firmer than other market areas in the first couple of days of the week, led the shift in the other direction with most of Wednesday’s largest losses.

San Juan Basin flatness was the exception to Thursday’s anticipated continuing slide in prices. Otherwise, losses between a nickel and a little over a dime in the Rockies/Pacific Northwest, California and intra-Alberta were fairly moderate in comparison with declines ranging from about a dime to nearly 30 cents elsewhere.

With the exception of three energy-related tax provisions, House Ways and Means Committee Chairman Bill Thomas (R-CA) has decided to largely forego piggybacking a package of energy tax breaks and incentives to the House version of the corporate tax cut bill (HR 4520).

With the exception of three energy-related tax provisions, House Ways and Means Committee Chairman Bill Thomas (R-CA) has decided to largely forego piggybacking a package of energy tax breaks and incentives to the House version of the corporate tax cut bill (HR 4520).

This week may have started Monday with rising prices like the previous one, but it didn’t take long for the two market paths to diverge. Quotes kept ascending through Thursday of last week, but on Tuesday of this week they were already in full retreat in most areas.

With the exception of a couple of flat Midwest citygates, prices ranged from barely lower to down more than 30 cents at the Southern California border Friday. Sources cited new forecasts indicating less severe cold weather over the weekend and this week as the chief factor in market weakness.

Hot weather throughout most of the U.S. (with the exception of mild conditions in the Upper Midwest) spurred price increases ranging from about a nickel to 15 cents at nearly all points Monday. Continuation of firming numbers was in doubt, however, due to cold fronts in the Midwest and approaching the Northeast, with the one in the Midwest due to push on into the South over the next day or two.

With the exception of a listless short-covering rally late in the session, trading Monday in the gas pit at Nymex was one bulls would like soon to forget. In addition to its 5.2-cent decline and $5.102 close, the August contract dipped below key support at $5.08, leaving technical traders to seriously consider if the long-standing uptrend in gas futures is over. At 53,067, estimated volume was light for the session.

The Northeast, where unseasonable cold was expected to linger for another day or two, was the rare market seeing rising prices as April aftermarket trading got under way Monday. Otherwise, except for some flat to mildly softer numbers in California and the Rockies, losses tended to range from about a nickel to 30 cents. The overall market was weighed down by general mild weather and continued screen weakness.