In one of the least volatile trading days in the cash market in recent memory, spot prices barely moved on Veteran’s Day, with many points inching up only a nickle while a few others fell a couple pennies. However, the cash market was a striking contrast to the futures market on Nymex, where the December contract collapsed 44 cents to $7.236 in response to falling crude oil and heating oil prices.
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Cash Prices Plummet $1, Leaving Huge Gap to December Futures
After the surprising 75-90 cent gains on Monday in response to colder weather in eastern market areas, the natural gas cash market took a big step downward Tuesday as high temperatures hit the mid-60s across most of the nation. Many points tumbled more than $1, sharply increasing the basis gap with December futures, which only slipped 12.9 cents Tuesday to $7.471/MMBtu on Nymex.
Cash Prices Plummet $1, Leaving Huge Gap to December Futures
After the surprising 75-90 cent gains on Monday in response to colder weather in eastern market areas, the natural gas cash market took a big step downward Tuesday as high temperatures hit the mid-60s across most of the nation. Many points tumbled more than $1, sharply increasing the basis gap with December futures, which only slipped 12.9 cents Tuesday to $7.471/MMBtu on Nymex.
Despite Ivan, Gas Prices Plummet on Weak Demand, 99 Bcf Injection
Florida Gas Transmission (FGT) reported that its compressor station 12 in Munson, FL, was damaged by Ivan’s high winds Thursday morning and as a result the pipeline will have about 500,000 Dth/d less firm transportation capacity into the market area available on Friday. However, the news came too late for a cash market reaction. Spot prices on FGT were the biggest decliners Thursday in a surprisingly weak marketplace nationwide.
ICE Pre-Tax Profit Plummets 62% in 2003
Atlanta-based IntercontinentalExchange (ICE) saw its pretax profit plummet 62% to $19.9 million, its cash flow drop 47% to $27.1 million and its revenues tumble 25% to $93.7 million last year as the energy trading business struggled through a credit crisis and trading dropped sharply on its over-the-counter (OTC) electronic marketplace.
ICE Pre-Tax Profit Plummets 62% in 2003
Atlanta-based IntercontinentalExchange (ICE) saw its pretax profit plummet 62% to $19.9 million, its cash flow drop 47% to $27.1 million and its revenues tumble 25% to $93.7 million last year as the energy trading business struggled through a credit crisis and trading dropped sharply on its over-the-counter (OTC) electronic marketplace.
Canadian Gas Exports Plummet Despite High Prices, Ample Pipeline Space
The 55% share of the Canada’s gas output that is exported to the United States has dropped for the eighth month in a row. The latest report on exports by the National Energy Board showed a 9.8% decline in volumes during August, to 293.9 Bcf compared to 325.8 Bcf during the same month in 2002. Exports dropped despite sharply higher prices and ample capacity on the pipeline grid for delivering as much gas as Canada can produce.
Canadian Gas Exports Plummet Despite High Prices, Ample Pipeline Space
The 55% share of the Canada’s gas output that is exported to the United States has dropped for the eighth month in a row. The latest report on exports by the National Energy Board showed a 9.8% decline in volumes during August, to 293.9 Bcf compared to 325.8 Bcf during the same month in 2002. Exports dropped despite sharply higher prices and ample capacity on the pipeline grid for delivering as much gas as Canada can produce.
Futures Plummet on Large Storage Fill
Exhibiting a symmetry not often seen in the hectic world of natural gas futures trading, prices spiraled lower Thursday on bearish storage data, exactly retracing the gains seen following last Thursday’s bullish storage report. Last Thursday, the Energy Information Administration (EIA) reported a lower-than-expected 74 Bcf injection and this week the EIA reported a greater-than-expected 82 Bcf refill. In both instances, the price reaction was immediate and substantial. On Aug. 7 the market leaped 33.7 cents higher, while Thursday the market dropped 28.8 cents to close at $4.891.
April Futures Plummet 57 Cents on Spring Warmth
The gas futures rocket ran out of fuel and apparently had no parachute on Tuesday. April went into free-fall, opening the day down 22.5 cents, and then rapidly sailing straight through the $6 support level and several major trendlines to a hard landing at $5.944, down a grand total of 57.1 cents for the day.