Bottom line as we begin winter is this – gas in storage for winter heating needs is 20% below both last year and 5-year average levels for this week of the year.  The market experienced a significant spike at the end of November due to below average temperatures, and forecasts for a colder than normal December.  Low storage levels also contributed.  Pricing has backed off somewhat this month however any sustained cold in January or forecasts calling for sustained cold will cause higher pricing.  Concern over low storage levels will drive the market. 

Take a look at NYMEX futures pricing.

Wishing all of you a happy holiday season.  For me it’s Christmas and I thank God for the birth of my Lord and Savior Jesus Christ.  Wishing everyone joy and peace this holiday season.