The Energy Information Administration (EIA) reported a net withdrawal from natural gas stocks Thursday that fell on the bearish side of market expectations, but the report failed to move the needle in the January contract as forecast December cold remained the focus.
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January natural gas was set to open about 6 cents higher at around $3.19 Wednesday, with the market continuing to gain momentum on growing confidence in a cold weather pattern set to move in after the first week of December.
December natural gas was set to open about 2 cents lower Wednesday at around $2.996 as more warming showed up overnight in the medium-range forecast.
December natural gas was set to open about 2 cents higher Thursday at around $3.10 as all eyes turn to the 10:30 a.m. EDT release of the Energy Information Administration’s (EIA) storage inventory data.
Natural gas futures scooted higher Thursday morning after the Energy Information Administration (EIA) reported a storage withdrawal that was greater than what the market was expecting.
For the holiday-shortened trading week physical natural gas managed to keep on trucking higher as nearly all sections of the country recorded about a dime gain. The only region of the nation not in the plus column was the Northeast, and at the end of the three-day trading week the NGI National Weekly Spot Gas Average had added 11 cents to $3.63.
Natural gas futures surged past $3 Wednesday morning after the Energy Information Administration (EIA) reported a storage withdrawal that was not what the market was expecting.
September natural gas is expected to open a penny higher Thursday morning at $2.81 as traders mull forecasts of Thursday’s government storage report coming in as low as the single digits. Overnight oil markets fell.
Record-high natural gas power burn was the driving factor behind last week’s unusual 6 Bcf summer storage withdrawal, according to the Energy Information Administration (EIA).
If limitations can be removed at California’s now-closed largest natural gas storage facility, an increase in withdrawal capacity could lower, if not eliminate, the risk of gas curtailments leading to rolling power outages during peak demand days this summer, according to a state-mandated report released on Wednesday.