Forecasts

Goldman Sachs on Friday joined two other analyst houses in boosting U.S. natural gas price forecasts, recommending that investors position themselves for “higher prices over the course of 2013.” The gas rig count also is predicted to surpass the 500 mark by the end of the year.

After ignoring forecasts of the coming winter storm back on Monday, traders of physical natural gas were forced to face the music on Wednesday as the same system that brought a white Christmas to portions of Texas was still depositing a wintry mix of sleet and snow from Oklahoma through the Mid-Atlantic and Northeast.

Propelled by its U.S. onshore crude oil and liquids output, EOG Resources Inc. reported better-than-expected profits for the third quarter. Investors in return sent the stock price up 4.37% on Tuesday.

National Oilwell Varco Inc. (NOV), the largest oilfield equipment supplier in North America, beat profit forecasts in 3Q2012 on solid demand in the deepwater and overseas, but the U.S. land drilling market has stalled, executives said Thursday.

National Oilwell Varco Inc. (NOV), the largest oilfield equipment supplier in North America, beat profit forecasts in 3Q2012 on solid demand in the deepwater and overseas, but the U.S. land drilling market has stalled, executives said Thursday.

Cash market quotes overall averaged nearly 13 cents higher Wednesday aided by a strong screen from the day before and weather forecasts calling for the first major incursion of cold air of the season. Midwest points and those locations expected to feel the brunt of the late-week cold experienced gains upward of 20 cents, but Gulf and California advances were more modest. At the close of futures trading November had skidded 8.5 cents to $3.450 and December had slipped 8.5 cents also to $3.776. December crude oil continued lower losing 94 cents to $85.73/bbl.

The physical market overall on average fell about 2 cents Wednesday in spite of short-term weather forecasts calling for warm temperatures and much of the Gulf of Mexico production shut-in. Midwest and eastern points were weak but California locations managed modest gains. At the close of futures trading the expired September contract had managed a 2.0 cent gain, reversing a string of four losses to $2.634 and October had gained 5.2 cents to $2.685. October crude oil fell 84 cents to $95.49/bbl.

The cash market overall rose an average 21 cents Monday boosted by a combination of pipeline outages, forecasts for searing heat, and Gulf shut-ins prompted by tropical storm activity. Northeast points shot higher as milder weather enabled pipelines to reinstate earlier restrictions. At the close of futures trading July natural gas gained 6.9 cents to $2.694 and August added 6.6 cents to $2.734. August crude oil shed 55 cents to $79.21/bbl.

Overall cash prices added a dime Monday as weather forecasts, pipeline maintenance and a strong screen combined forces to send prices sharply higher. Northeast points led the charge higher, but Southern California locations were not far behind. At the close of futures trading July had jumped 16.8 cents to $2.635 and August had risen 15.4 cents to $2.565. July crude oil fell 76 cents to $83.27/bbl.