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Enron Mail |
Daily Market Commentary October 22, 2001
TRADE BUYING SETS OFF STOPS . . . Natural gas futures scored triple digit gains in active trading Monday on the New York Mercantile Exchange. The last three sessions have left many traders unable to reconcile the huge price advance with the poor underlying fundamentals. After early selling interest subsided, concerted buys by major trade and commercial houses triggered stop loss buying and prices surged to finish the day at session highs. Short term traders see a conditional price advance tomorrow. . . At the end of the day the November contract roared ahead $.126 to $2.807 and the December tacked on $.097 to $3.087 . . . "Trade and commercials were early sellers between $2.75 and $2.68, but Salomon Smith Barney, Paribas, and (E.D.&F.) Man all bought at $2.65, and when prices broke above $2.75 there was aggressive short covering and that took prices to $2.80 almost right away," said a New York floor trader. . . "A lot of traders are saying they can't believe the market (given the fundamentals)," he said. . . "If the market opens tomorrow at or above $2.75, it will probably gap higher," he predicted. . . For the most complete information available subscribe to GasTrader at http://gastrader.net Bill Burson 120 Summit Blvd. Englewood, Colorado 80110 Tel (303) 761-7470 * Fax (303) 761-8662 (To be removed from this list send email to burson@gastrader.net)
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