October natural gas prices took on a lower track during the early morning hours but managed to hold above Friday's low. Prospects for normal to below normal temperatures for much of the East Coast were seen by some traders as a factor limiting on A/C demand for natural gas. While there has been a surge in Tropical Storm activity in the Atlantic, so far it has only been Tropical Storm Lee that has offered minor supply disruptions. There is a low pressure system off the Southwest coast of the Cape Verde Islands that has gained better organization, and the National Hurricane Center indicates that the storm has a 70% chance of becoming a Tropical Storm in coming days. The Commitments of Traders Futures and Options report as of August 30th showed non-commercial traders were net short 168,710 contracts, a decrease of 7,113. Non-commercial and nonreportable traders combined held a net short position of 135,689 contracts, a decrease of 3,127 on the week.
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