Forward Look

Natural Gas Forwards Slide Amid ‘Sleepy Shoulder Season,’ but Fundamentals ‘Still Look Solid’

Natural Gas Forwards Slide Amid ‘Sleepy Shoulder Season,’ but Fundamentals ‘Still Look Solid’

A major revision in the April weather forecast coming back from the Easter weekend took a big chunk out of natural gas forward prices for the period ending April 8. The short work week ended with the May contract down an average 10.0 cents and the balance of summer (May-October) off 7.0 cents, according to…

April 9, 2021
LNG Demand Drives Small Gains for U.S. Natural Gas Forward Prices, but Warm Temps Soften Northeast Curves

LNG Demand Drives Small Gains for U.S. Natural Gas Forward Prices, but Warm Temps Soften Northeast Curves

Natural gas forward prices posted modest increases across the majority of U.S. markets for the trading week ending March 24, buoyed largely by record export demand, according to NGI’s Forward Look. With the spring shoulder season underway, gas bulls have struggled to gain momentum in recent weeks. Aside from stormy weather patterns that could drive…

March 26, 2021
Natural Gas Forward Prices Slip as Market Eyeing Near-Term Bottom

Natural Gas Forward Prices Slip as Market Eyeing Near-Term Bottom

Natural gas prices trimmed about a nickel or so from the forward curve as spring appears to have sprung a couple of weeks early. The April contract was down 6 cents on average for the March 4-10 period, while the summer strip (April-October) was down 4.0 cents, according to NGI’s Forward Look. Similar losses were…

March 12, 2021
Small Gains for Natural Gas Forwards as LNG Demand Roars Back; More Upside May Wait Until After Spring

Small Gains for Natural Gas Forwards as LNG Demand Roars Back; More Upside May Wait Until After Spring

Shoulder season may be setting in across U.S. natural gas forward markets weeks ahead of schedule, with modest price changes seen across the country, according to NGI’s Forward Look.  A quick return to business as usual following last month’s historic winter freeze combined with near-perfect temperatures to drive April forward prices up only 6.0 cents…

March 5, 2021
Steep Natural Gas Price Losses Leave Forwards ‘Significantly Undervalued’

Steep Natural Gas Price Losses Leave Forwards ‘Significantly Undervalued’

Massive declines spread across natural gas forward markets for the trading period ending Wednesday, fueled primarily by a return to the warm weather pattern that has characterized most of the winter season.  A quick ramp in production following last week’s historic winter storm also served as a headwind for prices, with March averaging 34.0 cents…

February 26, 2021
Wild Natural Gas Spot Gas Action Reverberates Through Forwards Markets as Fallout Still Unclear

Wild Natural Gas Spot Gas Action Reverberates Through Forwards Markets as Fallout Still Unclear

The extraordinary tumult in the physical natural gas market rippled through the forward curves  during the trading week ended Wednesday as hubs throughout the country posted sizable week/week gains in both fixed and basis prices. Prompt-month fixed prices in NGI’s Forward Look rallied by the double digits from coast to coast for the Feb. 11-17…

February 19, 2021
Natural Gas Forwards Brush Off Ice, Snow Draping Lower 48; Higher Prices Still to Come

Natural Gas Forwards Brush Off Ice, Snow Draping Lower 48; Higher Prices Still to Come

Bitterly cold temperatures blanketed the Lower 48, and the deep freeze threatened to curb output throughout most of the country’s production basins. Long-held storage surpluses have quickly eroded and export demand continues to fire on all cylinders. It was, by all considerations, the perfect storm to send natural gas futures rocketing sharply higher. And yet,…

February 12, 2021
Polar Vortex Drives Massive Gains for Natural Gas Forwards, but Rally Loses Momentum

Polar Vortex Drives Massive Gains for Natural Gas Forwards, but Rally Loses Momentum

Massive snowstorms and intensifying frigid air in the coming weeks amped up the gains for natural gas forwards in the final days of January into early February. March prices averaged 19.0 cents higher for the period, while solid export demand seen this summer (April-October) lifted the strip an average 8.0 cents, according to NGI’s Forward…

February 5, 2021
Bitter Cold, Strong Export Demand Drive Big Gains for Natural Gas Forwards

Bitter Cold, Strong Export Demand Drive Big Gains for Natural Gas Forwards

With bone-chilling weather finally arriving in the Lower 48, the resulting surge in natural gas demand fueled massive gains across U.S. natural gas forward markets.  The February natural gas contract rolled off the board Wednesday at an average 22.0 cents higher than where it started the Jan. 21-27 period. The incoming prompt-month March contract jumped…

January 29, 2021
Disappointing Weather Outlook Sinks Natural Gas Forwards as Winter Peak Looms

Disappointing Weather Outlook Sinks Natural Gas Forwards as Winter Peak Looms

Mother Nature delivered a gut punch to the natural gas market, pulling back on projections for a polar vortex to descend into the Lower 48 by the end of the month. The frigid forecast was seen as the missing link in an otherwise solidly supported market. With only brief cold snaps on the radar, natural…

January 22, 2021