It was a turbulent month for the June contract, but after peaking at $3.105 per MMBtu, the June contract settled at $2.815 per MMBtu. The month of May brought about a couple of bullish storage reports and a forecast of above-average heat in the East, which was expected to drive cooling demand. After reaching a key technical resistance level and the forecast revised to more normal temperatures, natural gas prices quickly receded below $3.00 per MMBtu. This is the fifth consecutive month that natural gas has settled below $3 per MMBtu this year and CY2015 settles are now averaging $2.812 per MMBtu. The July contract has moved into the prompt position and closed out the week at $2.642 per MMBtu, a second day decline after yesterday’s bearish storage report.
