November NYMEX Trades Under $2.50

The November NYMEX fell $.091 on Thursday, to close the day at $2.433. The sell-off was due to low shoulder season demand, lower short-term demand expected due to Hurricane Joaquin bringing rain to the East Coast, and high volumes of gas in storage for the upcoming winter season. The EIA reported a net increase of 98 Bcf for U.S. natural gas storage, which was at the low end of the expected range, but still keeps current storage levels 454 Bcf above this time last year, and 152 Bcf higher than the 5-year average. For the week, the November NYMEX contract was down $.237, and Thursday’s close at $2.433 was the lowest close for the prompt month contract since June 2012.