Dow Jones - End of Day Commentary

DJ Natural Gas Prices Rise Off Lows


   By Nicole Friedman


  NEW YORK--Natural gas futures rose Monday on calls for stronger demand despite concerns about record-high amounts of
fuel in storage.

  Natural gas prices fell to a four-week low Friday due to rising inventories and weak demand. Moderate weather and
robust production have pushed the market into oversupply in recent months. Stockpiles of natural gas rose to 4 trillion
cubic feet for the first time on record in the week ended Nov. 13, according to the Energy Information Administration.

  Forecasts for colder temperatures boosted prices Monday. About half of U.S. households use natural gas as a primary
heating fuel, and cold weather leads to higher consumption.

  "Domestic weather models are calling for a cold front to sweep through the country in the next two days,"
energy-advisory firm Gelber & Associates said in a note.

  Futures for December delivery settled up 6.5 cents, or 3%, to $2.210 a million British thermal units on the New York
Mercantile Exchange.

  "The U.S. natural gas market is expecting to see its first winter test over the next two weeks," which "should help
set [a] price floor through month-end," Morgan Stanley said in a note.

  However, the bank added, "any price support may be brief as mild temps and a production ramp are expected in
December."

   FUTURES        SETTLEMENT NET CHANGE
   Nymex December $2.210     +6.5c
   Nymex January  $2.343     +5.2c
   Nymex February $2.386     +4.8c

   CASH HUB       RANGE       PREVIOUS SESSION

  El Paso Perm $2.05-$2.1575  $2.04-$2.165
   El Paso SJ   $2.15-$2.1975  $2.12-$2.185
   Henry Hub    $2.075-$2.175  $2.13-$2.22
   Katy         $2.11-$2.15    $2.17-$2.18
   SoCal        $2.20-$2.37    $2.23-$2.28

  Tex East M3  $1.62-$1.7975  $1.60-$1.75
   Transco 65   $2.125-$2.1575 $2.10-$2.215
   Transco Z6   $2.24-$2.30    $2.15-$2.22
   Waha         $2.05-$2.15    $2.135-$2.175


   Write to Nicole Friedman at nicole.friedman@wsj.com


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  (END) Dow Jones Newswires

  November 23, 2015 14:48 ET (19:48 GMT)

  Copyright (c) 2015 Dow Jones & Company, Inc.

112315 19:48 -- GMT
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