Natural Gas Jan '17 (NGF17)
Natural Gas Futures Market News and Commentary
May Nymex natural gas (NGK26) on Tuesday closed up +0.009 (+0.35%).
Nat-gas prices finished higher on Tuesday as the outlook for below-normal US spring temperatures could potentially boost nat-gas heating demand. Â The Commodity Weather Group said Tuesday that below-average temperatures are expected across most of the US through May 2.
Last Friday, nat-gas prices tumbled to a 1.5-year nearest-futures low amid robust US gas storage. Â EIA nat-gas inventories as of April 17 were +7.1% above their 5-year seasonal average, signaling abundant US nat-gas supplies. Â
Projections for higher US nat-gas production are negative for prices. Â On April 7, the EIA raised its forecast for 2026 US dry nat-gas production to 109.59 bcf/day from a March estimate of 109.49 bcf/day. Â US nat-gas production is currently near a record high, with active US nat-gas rigs posting a 2.5-year high in late February.
The outlook for the Strait of Hormuz to remain closed for the foreseeable fut... Read more
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