Several traders had expected that the cash market had one more day of firmness left in it before softening for the weekend, but Wednesday’s screen gain of nearly a dime and continued cooling demand proved insufficient to avert price losses across the board Thursday. And despite a bullish storage report that prompted a screen spike Thursday, sources continued to look for further declines Friday.
Firmness
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Overall Firming Extended, But EP-San Juan Drops Again
For the second day in a row El Paso’s San Juan-Blanco pool was the odd point out Wednesday amid a continued firmness in prices overall. At other locations quotes rose between a nickel (CIG) and about 20 cents.
Modest Firmness Based on Cooler Weather Forecasts
Prices managed to eke out more mostly small gains Thursday in decidedly non-volatile trading as weather support continued to turn slightly more bullish. A few scattered points turned in essentially flat performances. Nearly all of the gains were in single digits, but they ranged to a little more than 20 cents in the Rockies, where some of the coldest U.S. temperatures — and even a bit of snow — currently reside.
Moderate Firmness Believed Coming to an End
The market was able to squeeze out one more day of moderate overall price increases Tuesday, but between a sharp reversal in energy futures and warming weather trends, sources don’t expect that to continue Wednesday.
Across-the-Board Losses Extend Softening Trend
This week’s price trend, which began with mostly moderate firmness Monday and shifted Tuesday to a mix on either side of flat, continued to the downside Wednesday. With mild weather across the southern tier of states and no more than normal cold conditions elsewhere in the U.S. and Canada, all points were united Wednesday in losses that ranged from just under a nickel to more than 30 cents.
Market Marks Time With Mild Post-Weekend Firmness
With just a smidgen of mild softness in the mix, prices mostly ranged from flat to up about 15 cents Monday. A clear majority of gains were in single digits. Forecasts calling for chilly to cold but hardly severe weather in much of the U.S. and Canada this week — seasonable conditions, in other words — plus returning industrial load after the weekend were chiefly responsible for the modest rally.
Mild Firmness Reigns at Nearly All Points
The cash market saw one of its most synchronized price movements ever Thursday as nearly all points ranged from flat to less than a nickel higher. A couple of scattered points fell up to 4 cents, and a couple of others rose slightly more than a nickel.
Very Mild Price Firmness Not Expected to Continue
Trading for the last week of the August swing market and for September bidweek got off to quiet starts Monday. Mild bullishness reigned in next-day numbers at most points, with quotes ranging from flat to just over a nickel higher. Tiny dips were recorded at a few western points.
Storage-Inspired Screen Spike Expected to Rally Cash
Western points, which had shown firmness in the face of an overall weaker market Wednesday, got back in step with the East Thursday in registering flat to moderately lower numbers. Declines reached as much as 15 cents. But despite a widely acknowledged lack of fundamental weather support, NGI sources expect Thursday’s screen spike following the storage report to be sufficient for generating higher weekend prices Friday.
Overall Declines Outweigh Modest Firmness in West
Weighed down by the day-earlier futures loss of nearly 20 cents and with only marginal prospects for further gains in fundamental demand, most of the cash market recorded drops ranging from about a nickel to 20 cents Tuesday. Western points were a bit stronger than the overall market, seeing modest rebounds in the Pacific Northwest and Western Canada and flat to barely lower numbers elsewhere.