yank

Beaten Down Natural Gas Likely to Stay Down, Making Producers a Short

Lots of wishful thinking here. What's the old market adage, "Expecting the continuation of present pricing trends to continue indefinitely is the surest path to stock losses". Of course the wild card here is when does industrial production growth resume. As the author stated chemical, fertilizer, and other industries are heavy users of nat gas. The other wild card is does nat gas figure into Pres. Obama's energy/transportation reform proposals? I mean if the nat gas is there why not use it to power vehicles? The US Post office, FEDEX, and UPS have been using nat gas powered vehicles for years without any problems. If we are serious about climate change I don't see how nat gas can NOT be part of the solution. The comments on LNG appear to me to be "overstated". I don't see LNG becoming a major market mover for at least a decade. Bob Simpson (XTO) has managed his comapny thrpugh several up/down cycles and through it all XTO continues to outperform its peers. I do not see ng prices staying at hese levels much longer. In fact by the 4th qtr of 2010 I would be surprised if we were still below $9-10 bcf.