Residential/commercial demand for natural gas will begin to increase as the eastern United States begins to flip from warmer than normal conditions back to seasonal norms. However, that usually means that power generation requirements for gas slip as less is required for air conditioning loads and that, of course, has happened. With a Henry Hub price of about $2.50 for November futures, the clear signal is that the latter is having a greater influence than the former in this equation, which is no surprise in a supply strong market.
Visit this link to download the full Natural Gas Market Indicators report. Topics covered in this week’s report include: Reported Prices, Weather, Working Gas in Underground Storage, Natural Gas Production, Shale Gas, Rig Counts, Pipeline Imports and Exports, and LNG Markets.
Please direct questions and comments to Chris McGill at cmcgill@aga.org or Richard Meyer at rmeyer@aga.org.
