There was plenty of market activity to keep bidweek traders busy as they put October deals to bed, but outside of Appalachia, the Rocky Mountains and California, bidweek quotes showed only nominal declines of a few pennies. The NGI October National Bidweek Average fell 10 cents to $2.54 from September Bidweek, and represents a mere 3-cent premium over the NGI October 2016 National Bidweek Average of $2.51.
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September bidweek trading stood in stark contrast to the chaos and destruction Hurricane Harvey wreaked on the Texas Gulf Coast as prices moved little and most points outside of the Northeast were confined to changes of a few pennies either side of even.
End-of-August bidweek weather forecasts cooled substantially, sending the now spot September futures down sharply. For its part, bidweek quotes came in about a dime lower at most locations.
July natural gas bidweek prices swooned across a broad front as traders keyed off of a lack of weather developments and elected to follow conventional trading patterns.
What a difference a few days can make.
May natural gas bidweek quotes weren’t quite able to replicate April bidweek’s 49-cent surge, but May quotes did manage to hold on to most of those gains. The NGI National Bidweek Average eased 3 cents to $2.89, but that still placed it more than $1 higher than the May 2016 National Bidweek average of $1.82.
April natural gas bidweek quotes made a quick about-face from March’s abysmal performance as traders sensed an opportunity to lock-in low-priced storage volumes and buyers looked warily at rising futures quotes.
For natural gas bulls there is both good news and bad news contained in March bidweek trading. The bad news, of course, is that prices fell, if not collapsed, as an already mild 2016-2017 winter appears to be wrapping up early. Outdoing February bidweek’s 85-cent drubbing, NGI’s March National Bidweek Average recorded a $1.03 decline to arrive at $2.43.
The natural gas trading landscape is shaping up to be a tale of two markets: a soft near-term February characterized by uninspired bidweek prices offset by analyst predictions of an improved 2017 and 2018.
Natural gas bidweek buyers looking out across the weather/storage landscape lost no time in locking in supplies as a previous storage surplus slid into deficit to both last year and the five-year average and forecasters were calling for successive incursions of cold, Canadian air. The NGI National Bidweek Average rose a hefty $1.11 to $4.31, and all points followed by NGI were solidly in the black, some by multiple dollars.