Prompt

Natural gas futures on Wednesday showed there is nothing like the first regular trading session of a new prompt month to turn the tides of market direction as the July contract rebounded 21 cents on the day to close at $7.941. The positive day Wednesday put a halt to the string of seven consecutive sessions of lower closes, which resulted in the June contract’s expiration Tuesday at $7.591.

After reaching a high of $8.010 in trading last week, May natural gas futures were pushed lower Monday to explore the other end of the spectrum. The prompt month put in a low of $7.500 on the day before settling at $7.530, down 27.1 cents from Friday’s close.

After trying to break below $7.10 for the last couple of weeks, natural gas futures traders were finally successful Friday as the prompt month notched a low of $7.060 before closing at $7.083, down 15.6 cents on the day and 16 cents lower than the previous Friday’s close. Traders on Friday continued to battle entrenched support, but unlike previous attempts that sparked rallies, the bulls were not able to answer the call this time.

The April natural gas futures contract dropped 17 cents Tuesday to close at $7.533 in its first regular session as prompt-month as traders brought the contract more in line with March’s $7.547 expiration a day earlier. Traders see gas futures in an in-between phase, where the winter season is approaching its end but summer temperature and hurricane forecasts have yet to really hit the radar. Some market experts are eyeing an end to the weather-driven advances of the last few weeks and anticipate a robust injection season.

In its first action as prompt month, February natural gas futures bounced off a $6.090 low in Wednesday overnight Globex trading and continued to explore the upside in Thursday’s open outcry trading session. The contract reached a high of $6.365 on light trade before settling at $6.248, up 10.6 cents on the day.

Following a couple of back-and-forth trading sessions, prompt-month natural gas futures on Wednesday exploded 8.5% higher as colder than normal temperatures took hold in a number of regions around the country. After topping out at $7.750 on the day, November futures — which expire Friday — settled at $7.693, up 60.2 cents on the day.

After dropping 36 cents Monday and giving bulls pause, prompt-month natural gas futures resumed higher in trading on Tuesday. November natural gas, which goes off of the board Friday, popped back above $7 once again to record a high of $7.150 before settling at $7.091 — good for a 21-cent gain on the day.

November natural gas futures made it three consecutive trading days higher Tuesday despite slumping lower in overnight trading Monday. The prompt month started the day trading at its $5.460 low for the session but rebounded in the afternoon to settle at $5.759, up 11.6 cents on the day.

While prompt-month natural gas staged a feeble rally Friday afternoon, the real news of the day was the 25-cent and greater losses across most winter contracts. October natural gas traded within a $4.810 to $5.070 range before settling the week at $4.982, up 9 cents on the day, but 69.3 cents lower than the previous Friday’s close.