LONDON (Commodity Online): The natural gas forward curve shifted lower on the day as the support from weather subsides.
Although the weather forecast for the West has turned up warmer than yesterday's weather outlook, the Eastern region remains cooler than normal, representing lower cooling demand but not cold enough for higher heating demand.
A tropical system is developing in the Atlantic and could weaken significantly as it heads into the Carribean, representing little risks to the gulf production at the current moment. The prompt contract shaved off 3 cents to $3.80/MMBtu, while calendar 2011 edged lower by 4 cents to $3.94.
Calendar 2012 finished at $4.40, down by 2 cents. Cash prices at the key trading hubs were mostly higher on the day, Henry hub finished at $3.84, up by 6 cents. SoCal Border rose 9 cents and closed at $4.09 while Transco-Z6 (NY) rallied 6 cents to $4.07.
