Dow Jones - Natural Gas On Track For Five-Month Low

DJ Natural Gas on Track for Five-Month Low



  By Nicole Friedman


  NEW YORK--Natural gas prices fell for a fifth straight session Monday on expectations of a seasonal decline in
demand.

  Natural gas futures for October delivery recently fell 4.5 cents, or 1.7%, to $2.560 a million British thermal units
on the New York Mercantile Exchange, on track for the lowest settlement since April.

  Natural gas consumption typically falls at the end of summer, as fewer people use gas-powered electricity to run
air-conditioning units. The industry stores up gas over the fall to prepare for the winter, when demand can spike amid
robust heating demand.

  Weather forecasts released Monday called for hotter weather in the next two weeks than previously expected. Even so,
traders are looking past the near term to next month, when consumption is expected to be lower.

  "As fall weather rolls in and the market fixates on high storage levels and the risk of a mild winter, prices will
continue to struggle in gaining any upward momentum," said Barclays in a note.

  Physical gas for next-day delivery at the Henry Hub in Louisiana last traded at $2.61/mmBtu, compared with Friday's
range of $2.61 to $2.65. Cash prices at the Transco Z6 hub in New York traded between $2.10 and $2.39/mmBtu, compared
with $1.55 to $1.70 on Friday.


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


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  (END) Dow Jones Newswires

  September 21, 2015 10:18 ET (14:18 GMT)

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

092115 14:18 -- GMT
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