Natural gas falls as U.S. supply report matches bearish expectations
Published Dec 27, 2013 01:43PM ET
On the New York Mercantile Exchange, natural gas futures for delivery in February traded at USD4.405 per million British thermal units during U.S. trading, down 1.60%.
The commodity hit a session low of USD4.373 and a high of USD4.487.
The February contract settled up 0.16% at USD4.476 per million British thermal units on Thursday.
Futures were likely to find support at USD4.196 per million British thermal units, the low from Dec. 17, and resistance at USD4.577, Monday's high.
The U.S. Energy Information Administration reported earlier that natural gas stockpiles fell 177 billion cubic feet to 3.071 trillion in the week ended Dec. 20, in line with expectations though some investors were hoping for a more upbeat report just before its release, which sparked a selloff.
Updated weather forecast pressured prices lower as well.
Natgasweather.com reported earlier that a strong cold front will sweep through the northern Plains Saturday and into the eastern U.S. on Sunday and Monday, though mid January could usher in above-normal temperatures, which sent prices dipping.
Uncertainty due to the long-range nature of the forecasts cushioned losses.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in February were up 0.98% and trading at USD100.53 a barrel, while heating oil for January delivery were up 1.18% and trading at USD3.1314 per gallon.
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Written By: Investing.com
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