NYMEX December gas drops almost 15 cents in overnight trading Monday

Monday, November 26, 2012

The NYMEX December natural gas futures contract fell 14.5 cents from its Friday close to trade at $3.756/MMBtu as of 8:50 a.m. EST (1350 GMT) on an unsupportive weather outlook.

The contract traded overnight between $3.729-$3.868/MMBtu.

EcomEnergy analysts pointed to support for the contract at $3.664/MMBtu and resistance at $3.82/MMBtu.

Henry Hub cash averaged $3.595/MMBtu Wednesday, down 2 cents. It last traded on IntercontinentalExchange at $3.7625/MMBtu Monday morning.

Platts unit Bentek Energy forecast supply for Monday at 68.9 Bcf/d, down 100,000 Mcf/d from its Sunday outlook, with demand expected to rise 1.5 Bcf/d to 75.3 Bcf/d. Bentek forecast power burn at 17 Bcf/d, up 200,000 Mcf/d from the previous day, and industrial demand at 19.5 Bcf/d, up 100,000 Mcf/d.

Gas needed to replace lost nuclear generation came in at an estimated 5.025 Bcf/d, up 1.107 Bcf/d, according to Bentek data.

The petroleum complex was trading lower on Monday morning.

The NYMEX January crude contract was down 20 cents at $88.08/barrel, and the front-month heating oil contract was down 95 points at $3.0676/gal.

No trades were seen for the NYMEX CAPP coal contract early Monday. It last settled at $60.88/st on Friday.

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