natural gas options

natural gas futures

September 10th, 2013

Natural gas futures fluctuated in New York on speculation that government data will show a larger-than-normal increase in stockpiles of the power-plant fuel.

Gas rose as much as 0.7 percent and slipped 1.2 percent. An Energy Information Administration report scheduled for release on Sept. 12 may show inventories grew by 64 billion cubic feet in the week ended Sept. 6, according to the median of three analyst estimates compiled by Bloomberg. The five-year average gain for the week is 62 billion.

“The storage injection possibly coming in above average is putting pressure on the market,” said Phil Flynn, a senior market analyst at Price Futures Group in Chicago. “We had a little bit of a drop in demand last week and inventories are starting to catch up.”

Natural gas for October delivery increased 0.3 cent to $3.608 per million British thermal units at 9:06 a.m. on the New York Mercantile Exchange. Trading volume was 7.9 percent below the 100-day average for the time of day. Prices are up 7.6 percent this year.

- Christine Buurma in New York at Bloomberg.