BLBG: Natural Gas Futures Fluctuate on Outlook for Moderating Weather
Natural gas futures fluctuated in New York as forecasts showed milder weather that would reduce demand for the heating fuel.
Gas moved between gains and losses as WSI Corp. in Andover, Massachusetts, said temperatures would be normal or above normal in the eastern half of the U.S. from Dec. 2 through Dec. 6. The low in New York on Dec. 3 may be 38 degrees Fahrenheit (3 Celsius), 2 more than usual, according to AccuWeather Inc. in State College, Pennsylvania.
“It looks like we’re going to be putting the cold weather behind us next week,” said Bob Yawger, director of the futures division at Mizuho Securities USA Inc. in New York. “That’s going to put the kibosh on the recent rally unless we see a change in the forecast.”
Natural gas for January delivery fell 0.1 cent to $3.863 per million British thermal units at 9:17 a.m. on the New York Mercantile Exchange. Trading volume was 57 percent below the 100-day average. Prices are up 2.5 percent from a year ago. Gas climbed to $3.875 per million Btu in earlier intraday trading, the highest intraday price since June 21.
To contact the reporter on this story: Christine Buurma in New York at cbuurma1@bloomberg.net
To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net
