Exception

A minuscule gain at the Southern California border was about the only exception to falling cash prices Thursday. While a few scattered points dropped less than a dime, most measured their losses in double digits. The larger declines of about a quarter or more tended to cluster in the Rockies and at Northeast citygates.

A minuscule gain at the Southern California border was about the only exception to falling cash prices Thursday. While a few scattered points dropped less than a dime, most measured their losses in double digits. The larger declines of about a quarter or more tended to cluster in the Rockies and at Northeast citygates.

With the exception of plunging Northeast citygates, softness was rather mild Thursday in other regions. Nearly all non-Northeast points ranged from essentially flat to down less than a dime. But several sources saw signs of much greater price weakness to come in today’s trading for the weekend.

With the exception of hefty double-digit upticks at California points, the rest of the cash market was mostly an array of flatness mixed with small increases and decreases Tuesday. Expectations of another large storage injection figure this afternoon and the approach of cooldowns in key market areas such as the Northeast had several sources looking for general softness today.

California softness was the exception to Monday price increases that were in double digits in most cases and continued a general rally that had begun on Friday. Sources attributed the upticks mostly to a further rise in futures, but acknowledged that a widespread warm-up that created some date-specific high temperature records over the weekend was starting to generate some “decent” air conditioning load, particularly in the South and mid-Atlantic.

Prices leveled off Tuesday in the East with few points varyingby more than a couple of cents in either direction from flat.Western markets generally were softer except for flat numbers inthe Pacific Northwest and a gain of more than a dollar at theSouthern California border. The Golden State’s power situationremained dire enough that a second straight day of rollingblackouts was ordered (see related story).

What was gained on Wednesday was quickly lost yesterday as mostcash prices tumbled about 40 to 50 cents on average following theafternoon post-storage-report dip in Nymex futures the day prior.Southern California prices lost several dollars but most borderspot quotes still came in above $30.

Prices soared everywhere Friday except in Northern California asmore bullish weather forecasts and current conditions, along with asecond straight day of rising futures, propped up what had been arecently sagging cash market. Nearly all gains were within therange of 50-90 cents.

With the conspicuous exception of San Juan Basin, pricescontinued to rise by about a dime or more at most points Thursday.While still firming, the market’s increases were smaller than thoseon Wednesday.