XOM-XTO deal, last week's big NG withdrawal number, the big snowstorm on the east coast and now the big one in the midwest, maybe some end of year window dressing, all came together at once. While I doubt anyone is paying attention, the rise in the NG strip gives producers who held off hedging the opportunity to lock in 2010 at pretty attractive prices.
Shale producers are only drilling enough to hold their leases. At some point that will hit supply, as shale wells have a parabolic rate of decline.
