By Christian A. DeHaemer - Energy & Capital - Friday, August 27th, 2010We're now at the time of year when kids start dreading going back to school, moms dream of free time during the day, and granddads pick a weekend to winterize the boat or shutter the cabin.
Us resource guys, however, think about buying natural gas for the annual winter price boost.
But this year the markets aren’t buying it.
On Wednesday, the Energy Information Agency (EIA) came out with a bearish report.
Last week, the price of natural gas fell as much as $1.36 per million Btu; after the report, prices fell to $3.77 — dipping well below $4 for the first time since May.
The government report stated:
Natural gas in storage totaled 3,052 billion cubic feet (Bcf) as of August 20, about 6 percent above the 5-year (2005-2009) average.
The implied net injection for the week was 40 Bcf, significantly below historical injections for the week.
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