May natural gas is set to open 2 cents higher Thursday morning at $2.63 as traders await a government inventory report that could show additions or decreases. Overnight oil markets plunged.
Articles from Markets
Natural gas futures advanced Thursday following the release of government inventory figures showing a withdrawal that was not only greater than what the market was expecting, but also outside of survey ranges.
Looking to expand its physical footprint in the northeastern United States and capitalize on growing natural gas supplies out of the Marcellus and Utica shales, Tenaska Marketing Ventures (TMV) said Thursday that it has opened a new regional office in Boston — the company’s sixth in North America.
Natural gas futures action cast shade on the physical gas market Thursday as a larger than expected storage withdrawal report had some price bulls licking their chops, while other marketwatchers remained unimpressed.
May natural gas is seen opening unchanged at $2.64 Wednesday as traders balance a moderate change in the weather outlook with a dangerous technical environment. Overnight oil markets rose.
Gas for delivery Thursday shed a dime in Wednesday’s trading as a trifecta of moderating weather, lower power prices, and lower demand gave buyers little incentive to pursue incremental volumes.
Trading for next-day gas Tuesday was highly skewed, with multi-dollar losses at some New England points contrasting sharply with gains of a few pennies at most market points. Overall, the market was down 4 cents to $2.52, but take away just three stout losses in the Northeast, and the average market change was a penny higher.
Bidweek volatility, a bearish storage picture and expectations of low hydro supplies sparked a handful of movers and shakers in an otherwise dull natural gas forwards basis market last week.
Physical gas prices for Tuesday delivery moved little in Monday’s trading. Small gains in the Gulf and West were offset by losses of only a penny or two at market centers in the East and Midwest.