Dow Jones - Natural Gas Falls On Weather Forecasts

DJ Natural Gas Falls on Weather Forecasts


   By Nicole Friedman


  NEW YORK--Natural-gas prices slid Monday as forecasts for warm weather persisted, weighing on demand expectations.

  Natural gas for January delivery recently fell 7.7 cents, or 3.5%, to $2.109 a million British thermal units on the
New York Mercantile Exchange. Prices were on track for their lowest settlement since August.

  Mild weather and robust production has pushed the natural-gas market into oversupply this year and pushed prices
lower. Weather forecasts released Monday continued to show above-average temperatures in the next two weeks, at a time
of year when demand for the heating fuel is typically robust.

  "There is no sign of real demand out there from the weather side," said Scott Shelton, broker at ICAP, in a note.
"This is pretty much worst-case scenario."

  Physical gas for next-day delivery at the Henry Hub in Louisiana last traded at $2.0475/mmBtu, compared with Friday's
range of $2.07-$2.15. Cash prices at the Transco Z6 hub in New York last traded at $2.05/mmBtu, compared with Friday's
range of $2.04-$2.08.


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


  (END) Dow Jones Newswires

  December 07, 2015 10:39 ET (15:39 GMT)

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

120715 15:39 -- GMT
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