Markets settled flat today despite cold weather arriving in eastern North America. A weekend rally to $4.50 USD/MMBtu was corrected in early trading as traders sold the overbought position. The NYMEX front month eventually settled at $4.34 USD/MMBtu, only posting a small gain of $0.02 USD/MMBtu or 0.5% to Friday’s settlement.

Many cities located on the Great Lakes experienced their first snowfall of the year on Sunday, with Toronto being no exception. The city experienced its earliest 5 cm or greater snowfall in over 55 years. Torontonians fear not however, as temperatures will be back above seasonal norms by Thursday. In Alberta, a new NGTL Eastgate constraint is restricting flows to Eastern Canada. As a result, AECO cash prices have dropped to $0.85 CAD/GJ (from over $2.00). The maintenance is only supposed to last from November 10th to 13th, but it once again shows the price volatility in the oversupplied region. (PB)