Leaves

The New York Mercantile Exchange (Nymex) and the IntercontinentalExchange (ICE), Nymex’s chief rival in the energy markets, released contradictory statements Thursday regarding a court decision in their legal battle over the use of Nymex futures settlement prices. Nymex claimed victory, but ICE said the key issue in the dispute was left undecided.

In concert with gains in the nearby crude and heating oil pits, natural gas futures proceeded higher for the seventh straight session Friday as locals hunted for sell stops and funds covered shorts. Buying was concentrated in the winter months, which advanced an average of 22.7 cents during the session. By comparison, the 2004 summer strip languished near unchanged, down a half-cent for the day.

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.

Although the official start of summer is still more than two weeks away, the amusement park season officially opened at Nymex Wednesday. In a roller coaster-like session, the July contract twice soared and descended as fund and local trader technical buying met with equal parts producer selling.

El Paso Corp. announced Friday that Ralph Eads III, executive vice president, who presided over the company’s unregulated merchant energy and production businesses, left the company effective the end of December 2002 to pursue other opportunities.

El Paso Corp. announced Friday that Ralph Eads III, executive vice president, who presided over the company’s unregulated merchant energy and production businesses, left the company effective the end of December 2002 to pursue other opportunities.

Cold temperatures expected over the weekend and the continuation of strong cash market prices were enough to dissuade sellers from pressing the natural gas futures market lower Friday. At the same time, buyers were hesitant to push their luck following the recent run to seven-week continuation chart highs. As a result, the April contract was left to chop lazily sideways ahead of the weekend on light volume of 71,786 contracts. The prompt month finished at $2.359, up 0.2 cents for the session, but down 4.1 cents from its $2.40 open last Monday.

The Energy Information Administration (EIA) will take over where the American Gas Association leaves off, conducting weekly surveys of natural gas in storage in the United States, Energy Secretary Spencer Abraham said Tuesday.

Ending a two-week, $1.17 price slide, natural gas bulls clung to early gains Thursday despite a considerable push lower late in the session. With that the October contract concluded its first day as prompt contract with an unremarkable 0.2-cent gain to finish at $2.395.