Canadian Natural Gas Tumbles on Supply Increase, Lower Demand

Bloomberg reported that Canadian natural gas for November inched down after the U.S. raised its forecast for natural gas output in 2011 by 0.3 percent and cut its consumption outlook.

As quoted in the market news:

Gas for November delivery on the New York Mercantile Exchange dropped 12.7 cents, or 3.5 percent, to settle at $3.489 per million Btu.

Gas for prompt delivery at U.S. border points where Canadian gas is traded rose on forecasts of colder weather in the U.S. Midwest, the biggest consuming region for Canada’s gas exports. Chicago will have a low of 31 degrees Fahrenheit (minus 1 Celsius) on Oct. 19, 14 degrees Below normal, according to AccuWeather Inc.

Click here to read the full Bloomberg report