From all of the large double-digit gains throughout the cash market Tuesday, it would seem like: (a) a major hurricane had sprung up unexpectedly in the middle of the Gulf of Mexico production area, or (b) huge blizzards had begun raging throughout North America.
Sprung
Articles from Sprung
Prices Down at Nearly All Points Amid Mild Weather
Although The Weather Channel’s website headline said “Spring has sprung” Thursday morning, it will not officially be true until Saturday. But the continuation of spring-like weather in most of the U.S. was able to ensure that cash market softness would endure. Of course, the previous day’s second consecutive fall of 4.4 cents by April futures was another bearish influence.
Prices Down at Nearly All Points Amid Mild Weather
Although The Weather Channel’s website headline said “Spring has sprung” Thursday morning, it will not officially be true until Saturday. But the continuation of spring-like weather in most of the U.S. was able to ensure that cash market softness would endure. Of course, the previous day’s second consecutive fall of 4.4 cents by April futures was another bearish influence.
Record Crude, Supportive Weather Boost NatGas Futures 40 Cents
Following through on leftover momentum from Friday and a renewed burst of strength from the neighboring crude futures market, natural gas futures sprung above $11 on Monday to record a $11.210 high before closing out the day at $11.178, up 40.1 cents from last week’s close.
August Futures Rebound Nearly 30 Cents on Short-Covering
Traders reversed course in a big way Tuesday as August natural gas futures — which had fallen by $1.65 from June 15 through July 9 — sprung higher Tuesday in a fierce round of short-covering. The prompt month hit a high of $6.710 before settling at $6.699, up 28.9 cents from Monday’s close.
Futures Jump Higher; Traders Eye Fresh Storage Data
Following Tuesday’s minor increase, January natural gas futures sprung higher Wednesday as traders covered short positions and some weather forecasters left the door open for some colder temperatures later in the month. After reaching a high of $7.785, the prompt month dropped down to close at $7.673, still good for a 24.3-cent gain on the day.
Spring Gets Sprung With Falling Cash Prices
Maybe all it took was the beginning of spring to induce the first substantial market softness in more than a week. Lower industrial load over a weekend, a bit of moderation from cold weather in the Midwest and Northeast, and energy futures weakness the day before were the chief causes of across-the-board declines in spot prices Friday.
Futures Free-Fall to Expiration, Notch 3-Week Low
Following the quietest session in recent memory Friday, natural gas futures sprung back to life Monday as traders liquidated prompt-month holdings in an expiration-session free-for-all. There was little in the way of fresh news Monday, but it turns out that the old news was bearish enough to propel the market lower. The May contract was hardest hit by the selling, tumbling 25 cents in the last 30 minutes of trading to carve out a new three-week low of $5.00. The settlement price, which on expiration day is calculated by averaging all prompt month trades during the last 30 minutes of the session, was $5.123, down 35.4 cents for the day and more than 70 cents off its highs of just a week ago.
Residentials Face High Winter Gas Prices
State regulators, LDCs, utilities and industry analysts have allsprung into action to prepare residential customers for muchhigher natural gas bills next winter, especially if powergeneration demand for gas continues unabated and the winter weatherturns unusally cold.
Short-Covering Boosts Futures Near 31-Month Highs
Like a monster at the end of horror movie that refuses to die,natural gas futures sprung back to life Friday following Thursday’squiet trading session that led some to believe the bull-run wasover. It didn’t take the market to prove them wrong Friday, as theJune contract gapped higher at the open and then erupted 11.5 centsto close at $3.825.