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ENERGY: Dec natural gas off early lows, pulled up by WTI crude, which also pared
losses. As reported in 10:30 am bullet, the EIA reported a 21 bcf increase in
nat gas storage for the Nov 2 week, which was below expectations of an injection
of about 27 bcf. Interestingly, some block trades going through Nat Gas European
Options in recent trading, according to CME Group data, with 500 in the 2.800
strike and 500 in the 2.725 strike. Activity also brisk in WTI crude futures and
WTI 1-month spread options.
ENERGY: Writing about the natural gas market, analysts at Strategic Energy
Research said the near-term analysis will continue to focus in to East Coast
power generation and Hurricane Sandy--handicapping the impact of overall power
outages to homes against shut-in nuclear generating facilities. "On balance,
this may be a mild near-term negative," they said, and perhaps the bump in
storage expected this week will show up next week.