The U.S. Energy Information Administration (EIA) reported an injection of 110 Bcf natural gas into storage for the week ended May 26. The result came in above median estimates and drove Nymex natural gas futures deeper into the red.

At A Glance:

  • Production falls to 97 Bcf/d
  • Forecasts for mixed demand
  • NGI models draw of 41 Bcf

Natural gas futures on Wednesday declined again under the weight of two usual suspects – steady production and modest demand. Following Tuesday’s 9.0-cent sell-off, the July Nymex gas futures contract settled at $2.266/MMBtu, down 6.1 cents day/day. August shed 5.8 cents to $2.358.

In contrast, NGI’s Spot Gas National Avg. advanced a second straight day, rising 18.5 cents to $2.095. The average recovered from a beating last week.

Production...