Natural Gas Jul '20 (NGN20)
Natural Gas Futures Market News and Commentary
May Nymex natural gas (NGK26) on Wednesday closed up +0.011 (+0.42%).
Nat-gas prices posted modest gains on Wednesday, as the selloff over the past month has led to oversold conditions that prompted some technical short-covering. Â
On Tuesday, nat-gas prices sank to a 17-month low due to above-normal spring temperatures that have reduced US nat-gas heating demand and expanded storage levels. Â The Commodity Weather Group said that above-average temperatures are expected across the eastern two-thirds of the US through April 19 and the Upper Midwest from April 20-24.
Expectations of above-average US nat-gas storage levels signal abundant supplies and are bearish for prices. Â The consensus is that Thursday's weekly EIA nat-gas inventories rose by +55 bcf in the week ended April 10, above the five-year average for the week of +38 bcf.
Projections for higher US nat-gas production are negative for prices. Â Last Tuesday, the EIA raised its forecast for 2026 US dry na... Read more
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