DJ Natural Gas Pulls Back From Three-Month High
By Christian Berthelsen
Natural gas futures pulled back Monday from nearly three-month highs reached on Friday as traders closed out bets
ahead of contract expiry later this week.
The front-month May natural gas contract was down 3% at $2.0750 a million British thermal units on the New York
Mercantile Exchange, after matching its highest settlement since Feb. 1 on Friday. Natural gas has rallied 30% since
touching a 17-year low on March 3, amid evidence of falling production and a cool start to spring that has raised hope
for late-season gas-fired heating demand.
The May contract expires Wednesday. Most of the trading volume in the market has already moved forward into the June
contract, which was down 3.1% at $2.1960 a million Btus.
Tom Saal, a broker with INTL FC Stone in Miami, said the market remained bullish despite Monday's retreat with prices
remaining above $2 a million Btus.
"It's still showing some strength from where it's been," Mr. Saal said.
The latest forecasts show below-normal temperatures clinging in various parts of the country into early May.
Write to Christian Berthelsen at christian.berthelsen@wsj.com
(END) Dow Jones Newswires
April 25, 2016 10:36 ET (14:36 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
042516 14:36 -- GMT
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