

Spot month gas prices pushed higher in Monday’s trade as LNG export volumes recover following Hurricane Francine while lingering heat in the South keeps cooling demand elevated. News of a pipeline fire in La Porte, Texas involving one of Energy Transfer’s NGL pipeline also provided support. Oct futures settled 6.8 cents higher at $2.373.

LNG feegas demand has rebounded back to 13 BCF/day after dropping last week to 11.5 BCF/day. A slight decline in gas flows is expected as Cove Point LNG goes offline for annual maintenance.
Producers continue to curtail output to help balance the market. Output this morning is coming in at 99.4 BCF/day, down 0.8 BCF/day. Output is expected to average 100.2 BCF/day over the next week.
The market is anticipating little weather related demand over the coming 2 weeks. Summerlike heat across large portions of the US this week will keep cooling demand at above average levels. over the next 2 weeks With conditions expected to remain warmer than normal through the end of Sep, HDDs will minimal. Weather patterns heading into Oct show continued lower than normal HDDs across the North. Month to date, consumption is averaging 98.6 BCF/day, 0.2 BCF/day lower than Sep 2023.

The front month contract is trading about 5 cents higher this morning on restrained production and expectations for lower than normal average storage injections for the balance of injection season.

The October 24 natural gas contract overcame early weakness on Monday to close the day strong gaining .068 to close the day at 2.373.
The trend for the market continues to turn more bullish after the October contract broke out above daily continuation chart 200 day moving average resistance last week.
2.400-2.410 remains primary resistance. If broken, the 50% retracement of the June-July downtrend at 2.500 being the next area of resistance.
200 day moving average resistance on the October 24 daily chart is at 2.590.
The 10 day moving average which held as support on Monday is at 2.280 today followed by the 200 day average at 2.235.
Moving Average Alignment – Neutral-Bullish
Long Term Trend Following Index – Bullish
Short Term Trend Follow Following Index - Bullish
Relative Strength Index -62.23






This material should be construed as the solicitation of an account, order, and/or services provided by the FCM Division of StoneX Financial Inc. (“SFI”) (NFA ID: 0476094) or StoneX Markets LLC (“SXM”) (NFA ID: 0449652) and represents the opinions and viewpoints of the author. It does not constitute an individualized recommendation or take into account the particular trading objectives, financial situations, or needs of individual customers. Additionally, this material should not be construed as research material. The trading of derivatives such as futures, options, and over-the-counter (OTC) products or “swaps” may not be suitable for all investors. Derivatives trading involves substantial risk of loss, and you should fully understand the risks prior to trading. Past results are not necessarily indicative of future results.
All references to and discussion of OTC products or swaps are made solely on behalf of SXM. All references to futures and options on futures trading are made solely on behalf of SFI. SXM products are intended to be traded only by individuals or firms who qualify under CFTC rules as an ‘Eligible Contract Participant’ (“ECP”) and who have been accepted as customers of SXM.
SFI and SXM are not responsible for any redistribution of this material by third parties, or any trading decisions taken by persons not intended to view this material. Information contained herein was obtained from sources believed to be reliable, but is not guaranteed as to its accuracy. Contact designated personnel from SFI or SXM for specific trading advice to meet your trading preferences.
(1) The StoneX Market Indicator provides an overall view of market sentiment for a commodity based on the quantification of fundamental, technical and historical market data related to that commodity. The StoneX Market Indicator History graphically represents each day’s actual very bearish to very bullish signal. This history contains the sum of all factors, excluding weather forecasts.
(2) The StoneX Value Matrix provides a measure of historical value by analyzing historical price data distributed into 10 deciles. The prices are adjusted for inflation using the Producer Price Index (PPI) published by the U.S. Bureau of Labor Statistics.
Reproduction or use in any format without authorization is forbidden. © Copyright 2024. All rights reserved.




