Happy Wednesday.

Another interesting day for the NYMEX January front month contract.  After hitting a high of $3.64 US/mm on Friday November 22nd, we traded down to $2.98 before bouncing up to $3.06.  Markets are looking ahead to the EIA storage report tomorrow, when expectations are for a -38bcf withdrawal for the week ending Nov 29th.

The sell off could be explained because weather expectation is for temperatures to warm up for the December 8-15 period, reducing heating demand while at the same time production is starting to increase.  And we still have a lot of gas in storage.