Moody’s Analysts See $2-$3 Henry Hub, $49 Brent By Year-End

U.S. natural gas prices are expected to stabilize in a range of $2.00-$3.00/MMBtu by year-end and into 2021, while Brent crude oil is projected to close 2020 at $49/bbl, according to new forecasts from Moody’s Investors Service.

Mexico natural gas prices and the crude oil export price of state oil company Petróleos Mexicanos (Pemex) are closely tied to Henry Hub and Brent, respectively.

The credit ratings analyst said shut-in oil wells and scaled back associated natural gas volumes in the United States amid fallout from the coronavirus pandemic would keep prices higher than they are currently. The October Nymex contract settled at $2.048/MMBtu on Friday.

The demand side of the equation is dependent as usual on weather, but prices would get a boost if liquefied natural...