Sweltering heat and higher cash prices tipped the scales inbulls’ favor again yesterday at the New York Mercantile Exchange asprices snapped back with a one-two combo to easily recoup thealmost nickel decline posted during Tuesday’s Access trading. Thefirst spike occurred at the open as speculators were seen loadingup their long positions for the second morning in a row. After thatinitial surge the market moved mostly sideways until right beforethe close, when a round of market on close (MOC) buy orders liftedthe August contract 2.7 cents to its $2.601 final resting place.For the fifth day in a row, estimated volume topped the 100,000mark at 139,502 contracts.
Reason
Articles from Reason
EEI: Distributed Power, Kyoto A Boon to Gas
Distributed generation and mandates of the Kyoto protocol couldmean great things for gas demand and are reason enough to make theindustry super bullish, according to the Edison ElectricInstitute’s (EEI) Charles Linderman, director of fossil fuels,renewable energy and rail policy.
Traders Look for Bottom as Price Falls Continue
Prices continued to deteriorate Tuesday for much the same reasonas in the previous couple of trading days: weather that’s cool butnot sufficiently cold to generate significant heating demand. Therewasn’t even much cooling load left in Texas after astorm-generating cold front that had knocked out phone service indowntown Tulsa for several hours Monday got as far south asHouston.
Industry ‘Swamped’ by FERC’s NOPR, NOI; Requests Extension
Citing the breadth of the undertaking as the reason, six tradeassociations last week jointly asked FERC to extend by 74 days thedeadline for the gas industry to respond to the major notice ofproposed rulemaking (NOPR) and notice of inquiry (NOI) that wereissued in July.