The cash market again bowed to a general lack of substantial cooling load and further prior-day futures softness in recording losses at all but one point Thursday. Modest warming trends in the Rockies and western Midwest were due to spur little additional power generation demand for gas.
Recording
Articles from Recording
Oxy Discovers ‘Significant’ California Gas and Oil Play
Despite recording oil and natural gas production increases from 2Q2008 to 2Q2009, lower commodity prices forced exploration and production giant Occidental Petroleum Corp. (Oxy) to record a 70% decrease in net income from one period to the next. Production levels for the company look like they will remain robust, especially after the company last week announced that it had made a “significant” discovery of oil and gas reserves in Kern County, CA.
Oxy’s Production Up as Earnings, Realized Prices Tumble
Despite recording oil and natural gas production increases from 2Q2008 to 2Q2009, lower commodity prices forced exploration and production giant Occidental Petroleum Corp. (Oxy) to record a 70% decrease in net income from one period to the next.
Futures Slide as Traders Eye Sixth Consecutive Triple-Digit Storage Build
Recording their fourth consecutive close lower on Tuesday on a streak of follow-through selling, July natural gas futures dismissed the surge of strength in the neighboring crude futures arena to close at $3.879, down 5.4 cents from Monday’s finish.
Friday Trading Caps Weekly Sweep of Higher Prices
As a marketer had anticipated a day earlier, cash prices capped a week of solid advances Friday by recording increases throughout the market. A bit of extra chill was due in the Midwest and Rockies over the weekend, but otherwise forecasts remained about as benign for gas demand as they were earlier in the week. Industrial load’s weekend decline obviously had little impact.
Gains Continue Despite Little Weather Demand
The market could claim marginal increases in cooling load in the South as more sections of the region were forecast to start recording highs in the mid 80s or so Thursday. Nevertheless, fundamental underpinnings of this week’s rally were still difficult to detect Wednesday even as overall firmness remained prevalent.
Diminished Futures Liquidity Produces Wild Storage Ride, Quiet Close
Recording their second consecutive volatile reaction to a natural gas storage report (see Daily GPI, April 3), May natural gas futures on Thursday morning traded violently up and down surrounding the news that 20 Bcf was injected into underground inventories for the week ending April 3. Following the two-minute mayhem, the prompt-month contract resolved lower before closing the session at $3.610, down only two pennies from Wednesday’s finish but 19.1 cents lower than the previous week’s finish.
Futures Trickle Lower But Bulls Remain Poised
After putting in a high of $6.232 in Tuesday morning trade, February natural gas futures slunk lower for the remainder of the regular session, recording a low of $5.865 before settling at $5.983, down 8.9 cents from Monday’s finish. Despite the decline, some market experts said the lows could already be in and that bulls could finally be coming to power with the support of colder weather and larger gas storage withdrawals.
ICE, CME Group See Earnings, Volumes Heading Separate Ways
Third quarter earnings for commodity exchange heavyweights and rivals IntercontinentalExchange Inc. (ICE) and CME Group Inc. read like A Tale of Two Cities with ICE recording a 12% jump and CME Group posting a 16% drop in net incomes when compared to the companies’ respective 3Q2007 results. Likewise, ICE says it saw trading volumes rise in 3Q2008 over 3Q2007, while CME Group reported a small decline.
ICE, CME See Earnings, Volumes Heading Separate Ways
Third quarter earnings for commodity exchange heavyweights and rivals IntercontinentalExchange Inc. (ICE) and CME Group Inc. read like A Tale of Two Cities with ICE recording a 12% jump and CME Group posting a 16% drop in net incomes when compared to the companies’ respective 3Q2007 results. Likewise, ICE says it saw trading volumes rise in 3Q2008 over 3Q2007, while CME Group reported a small decline.