Traders Cooperative

[Joe Stocks]

>>You think CHK looking attractive around here or you think we will get more of a drop?
<<

That's more like it. CHK has held up well. Long term I think it is an excellent value here. In the short term it concerns me that inventory levels of NG are near the max storage capacity. If max levels get hit before winter usage, NG prices could come down further. Regardless, once NG usage picks up I think NG prices will firm again. I think others think this too. Look at the difference between the Oct contract and the Jan contract...$3.50 or about 70% higher from today.