In Monday trading on the NYMEX natural gas for May delivery fell 1.5% (6.2 cents) to $4.008 per million British thermal units . Natural gas prices traded as high as $4.18 and as low as $3.936 on the session.
With natural gas inventories 12% above the five-year average the market continues to be pressured by ample supply and low demand. Analysts are forecasting that U.S. natural gas inventories could hit record levels above 4 trillion cubic feet by October 2010. Natural gas storage supplies hit a record high of 3.837 trillion cubic feet in 2009 as increased production and demand destruction led to large natural gas inventory injections.