Earlier today we told you that many had their eyes on the EIA’s natural gas inventories report.
Well, at 230 billion cubic feet, the draw came in a bit short of expectations for 239 bcf.
But it was enough to cause natgas futures to experience their greatest single-day percentage decline since April 29, 2010, and the largest dollar drop since Nov. 11, 2008, according to WSJ’s Brett Philbin.
The March NYMEX contract ended the day at $US5.011, a decline of $US0.454 cents, or 8.3%.
But Philbin reports that some analysts believe the plunge was temporary, and that there’s plenty more unusually freezing winter left.
“To me, the high prices aren’t over yet,” Anthony Grisanti, president of GRZ Energy Inc., a N.Y. trading and execution firm, told him.
About 50% of American households use natural gas to heat their homes.