Natural Gas Futures Market News and Commentary
Jan Nymex natural gas (NGF23) on Wednesday closed down -0.305 (-4.22%).
Jan nat-gas on Wednesday tumbled to a 1-week low and closed sharply lower on forecasts for milder U.S. weather that would limit heating demand for nat-gas. The Commodity Weather Group said the risks are for warmer weather in the East and Central to West U.S. from Dec 10-14, and forecaster NatGasWeather said "temperatures could warm above normal over much of the U.S. from Dec 8-15 as subfreezing air retreats to Canada."
Lower-48 state dry gas production on Wednesday was 100.8 bcf (+5.1% y/y), modestly below the record high of 103.6 bcf posted on Oct 3, according to BNEF. Lower-48 total gas demand Wednesday was 85.2 bcf/day, down -1.5% y/y, according to BNEF. LNG net flow to U.S. LNG export terminals Wednesday was 12.8 bcf/day, up +13.2% w/w and the most since June 7, the day before the fire shut the Freeport LNG export termnal in Texas.
An increase in U.S. electricity output is bullish for na... Read more