Sources

Prices tended to flatten out in most cases Thursday, and severalsources believe that barring any drastic weather changes, themarket is due for more sideways trading for at least the next fewdays.

Austin, TX-based Green Mountain Energy has received aninvestment of $53.5 million to fund its growth in marketing cleanerenergy sources in deregulated markets in the United States. Oddlyenough, the investment will come overseas from Nuon, the largestutility in the Netherlands and a leading provider of green energyin Europe.

Austin, TX-based Green Mountain Energy has received aninvestment of $53.5 million to fund its growth in marketing cleanerenergy sources in deregulated markets in the United States. Oddlyenough, the investment will come overseas from Nuon, the largestutility in the Netherlands and a leading provider of green energyin Europe.

As sources had predicted (see Daily GPI, July 14), the weekendmarket was divided along geographical lines. Eastern quotes were upby around a nickel to a little more than a dime in most cases,while the majority of western points registered declines rangingfrom slightly less than a dime to 20 cents or more.

Prices went up by about a dime or more at nearly all pointsWednesday, but sources were in consensus that the brief marketfirmness will not continue today.

Some sources figured the screen’s steep drop Friday afternoonwould have a depressing effect on cash numbers Monday, but theyreckoned without the heat that began blanketing the U.S. east ofthe Mississippi River over the weekend and continued through earlythis week.

Once again the bulls were on a rampage Tuesday, and sourcesexpected them to still be running today. Increases of about a dimeor more at all points dominated the cash market for the secondstraight day. Prices got support from a cold snap in thenortheastern U.S. and eastern Canada, hot weather from Californiathrough the Southwest into Texas and Louisiana and parts of theMidcontinent, and continued screen strength—both in natural gasand crude oil futures. Gas gained just over a dime, and crude rosejust over a dollar to finish above $22/bbl.

It shouldn’t have shocked anyone when the October aftermarketstarted out weak; after all, a number of sources had beenpredicting such a situation to NGI all week. The softening fromindex levels in swing deals done Thursday for today-only flow wasdivided somewhat on a geographic basis: declines of 15-20 cents ormore in the East were considerably greater than those in the West,which generally were less than a dime. California points evenmanaged about flat showings.

Few traders would dispute that Wednesday was a classic day forwanting to buy early and sell late. Sources reported prices risingsteadily during trading at virtually every point, with the highends of ranges occurring late in the morning. Increases of a dimeor more dominated the market, and Northeast citygates were seeingthe high side of $3 again in some deals.