MARKET WATCHEnergy prices continue to slide

Energy prices continued spiraling down Feb. 14 as residents of the US Northeast and Mid-Atlantic states shoveled through more than 2 ft of snow from a winter storm.

Feb. 14, 2006

2 min read

Sam Fletcher
Senior Writer

HOUSTON, Feb. 14 -- Energy prices continued spiraling down Feb. 14 as residents of the US Northeast and Mid-Atlantic states shoveled through more than 2 ft of snow from a winter storm.

Natural gas prices fell to the lowest level in more than 7 months on the New York market as traders shrugged off the likelihood of increased demand to concentrate instead on reports last week of more than adequate supplies. The near-month gas contract price has plunged by 16% in the last six trading sessions on the New York Mercantile Exchange, said analysts at Enerfax Daily. The latest forecast is for below-normal temperatures across the US on Feb. 18-26.

Crude prices remained above $61/bbl on NYMEX largely because of continued strong demand in the US, China, and India.

Energy prices
The March contract for benchmark US sweet, light crudes fell 60¢ to $61.24/bbl on NYMEX, while the April contract lost 55¢ to $62.31/bbl. On the US spot market, West Texas Intermediate at Cushing, Okla., was down by 80¢ to $61.05/bbl. Gasoline for March delivery dropped 3.09¢ to $1.43/gal on NYMEX. Heating oil for the same month declined by 0.4¢ to $1.84/gal. The March natural gas contract slipped by 7.3¢ to $7.24/MMbtu.

In London, the March contract for North Sea Brent crude retreated by 26¢ to $59.38/bbl on the International Petroleum Exchange. Gas oil for March inched up by 25¢ to $523.75/tonne.

The average price for the Organization of Petroleum Exporting Countries' basket of 11 benchmark crudes fell by 71¢ to $55.92/bbl on Feb. 13.

Contact Sam Fletcher at [email protected].