Natural gas futures down 0.32% to Rs 187.50 per mmBtu in afternoon trade

Natural gas futures eased to Rs 187.50 per mmBtu on September 8 as participants increased their short position as seen by the open interest.

Natural gas price trades weaker as mixed weather forecast dented outlook for cooling demand. However, pick up in US LNG exports and a severe heatwave in California is capping the downside limited.

In the futures market, natural gas for September delivery touched an intraday high of Rs 189.40 and an intraday low of Rs 186.40 per mmBtu on MCX. So far in the current series, natural gas has touched a low of Rs 131.30 and a high of Rs 203.

Natural gas delivery for September slipped Rs 0.60, or 0.32 percent, to Rs 187.50 per mmBtu at 14:55 hours IST with a business turnover of 10,841 lots.

Natural gas delivery for October decreased Rs 1.20, or 0.55 percent at Rs 218.90 per mmBtu with a business volume of 2,429 lots.

The value of September and October’s contracts traded so far is Rs 1,178.50 crore and Rs 47.13 crore, respectively.

MCX Natural gas has strong resistance at Rs 190-191.60 whereas support is placed at Rs 181.60-178, according to Motilal Oswal.

At 09:29 (GMT), the natural gas price slipped 1.47 percent quoting at $2.55 per mmBtu in New York.