Natural gas futures traded lower at Rs 222.40 per mmBtu on November 13. Natural gas price had declined 1.8 percent yesterday on the NYMEX and traded weaker today as market players positioned for the EIA weekly inventory report.
The forecast of a mild winter in some parts of the US in the early part of November, which reduces heating demand also weighed on the price.
In the futures market, natural gas for November delivery touched an intraday high of Rs 222.90 and an intraday low of Rs 220.80 per mmBtu on MCX. So far in the current series, natural gas has touched a low of Rs 210.10 and a high of Rs 251.30.
Natural gas delivery for November dropped Rs 3.30, or 1.46 percent, to Rs 222.40 per mmBtu at 14:29 hours IST with a business turnover of 12,197 lots.
Natural gas delivery for December edged lower Rs 2.30, or 0.98 percent, to Rs 232.10 per mmBtu with a business volume of 1,362 lots.
The value of November and December’s contracts traded so far is Rs 1,049.66 crore and Rs 30.26 crore, respectively.
While the general outlook is weak, if EIA reports a decline in US gas stocks in line or greater than market expectations that we may see some recovery, said Kotak Securities.
At 09:01 (GMT), the natural gas price was marginally up 0.07 percent quoting at $2.97 per mmBtu in New York.