DJ Natural Gas Falls for Fourth Straight Session
By Nicole Friedman
NEW YORK--Natural-gas prices fell Friday for a fourth straight session on concerns the market will become more
oversupplied in the coming weeks as demand fades.
Natural gas for October delivery recently fell 2.6 cents, or 1%, to $2.626 a million British thermal units on the New
York Mercantile Exchange, on track to settle at the lowest price since June.
Natural-gas consumption typically rises in the summer, as consumers use more gas-powered electricity for
air-conditioning and then declines in the fall when the weather gets more moderate. Winter is the highest-demand
season, as about half of U.S. households use natural gas as their primary heating fuel.
Hotter-than-average weather is expected in the next two weeks, but the market remains oversupplied due to robust
production. The U.S. Energy Information Administration said Thursday that natural-gas stockpiles grew slightly more
than expected last week and now stand 3.9% above the five-year average for the week.
"In terms of the coming winter...the market is starting with healthy amounts of gas in storage," London consulting
firm Energy Aspects said in a note.
Physical gas for next-day delivery at the Henry Hub in Louisiana last traded at $2.63/mmBtu, compared with Thursday's
range of $2.6525 to $2.6950. Cash prices at the Transco Z6 hub in New York traded at $1.60/mmBtu, compared with $2.29
to $2.57 on Thursday.
Write to Nicole Friedman at nicole.friedman@wsj.com
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(END) Dow Jones Newswires
September 18, 2015 11:05 ET (15:05 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
091815 15:05 -- GMT
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