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Article: Natural gas futures look set to test $3 as bearish market sentiment intensifies.
- Article from:
- The Oil Daily
- Article date:
- August 17, 2009
- Author:
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Swelling natural gas storage is intensifying bearish sentiment among players in the natural gas market as traders are waking up to the fact that a theoretical overflow of natural gas supplies in coming weeks is becoming more of a reality. Prices fell into the $3.20s on Friday and appear poised to test the $3 area or lower in coming days.
"The fact that there's 3.1 trillion cubic feet in storage during the first week of August with 12 reporting weeks left to go has a big psychological impact on the market," said a gas futures trader in Florida. "Even at $3.50, the gas market is in denial. In order to avert an all-out train wreck to the down side, we need to see ...