DJ Natural Gas Prices Steady After Prior Session's Jump
By Nicole Friedman
NEW YORK--Natural-gas prices traded near flat Friday as traders assessed whether robust production would keep a lid
on prices.
Natural gas futures for June delivery recently traded up 0.2 cent, or 0.1%, at $2.753 a million British thermal units
on the New York Mercantile Exchange.
Prices posted their largest one-day gain since January on Thursday after government data showed that stockpiles grew
less than expected last week.
Robust production has kept prices subdued in recent months, especially as warmer weather reduced demand for
gas-powered indoor heating. But consumption could pick up in the coming weeks as hot weather spurs consumers to turn on
air conditioners, increasing demand for gas-fired power plants.
After Thursday's storage data, some traders who had been betting on lower prices "decided to cover and sit out of the
market until there is further clarification as to what the weather demand will be like heading into the summer cooling
season," said Dominick Chirichella, analyst at the Energy Management Institute, in a note.
Physical gas for next-day delivery at the Henry Hub in Louisiana last traded at $2.66/mmBtu, compared with Thursday's
range of $2.54-$2.66. Cash prices at the Transco Z6 hub in New York last traded at $2.63/mmBtu, compared with
Thursday's range of $2.57 to $2.64.
Write to Nicole Friedman at nicole.friedman@wsj.com
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(END) Dow Jones Newswires
May 01, 2015 10:14 ET (14:14 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
050115 14:14 -- GMT
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