Tuesday, August 12th saw the front-month NYMEX Natural Gas contract open at $2.886, $0.068 below Monday’s closing price of $2.954. Recording the intraday high as markets opened, the contract trended decidedly lower throughout the day as the bearish fundamentals piled up. Traders are eyeing Tropical Storm Erin, which is forecasted to become the first hurricane in the Atlantic for the 2025 seasons. Additionally, production remained steady, and cooling demand is expected to decline for the back half of August.
Falling to a nine-month intraday low of $2.774 at 1:40PM, September closed lower on Tuesday at $2.808.
The EIA Natural Gas Storage Report is due out Thursday at 10:30AM. The report is expected to show a 60 BCF injection to storage for the week ended August 8. This compares to a 6 BCF withdrawal this time last year and a five-year average injection amount of 33 BCF.
As of 7:40AM this morning in Globex, WTI Crude was down $0.370; Natural Gas was down $0.020; Heating Oil was down $0.013; and Gasoline was down $0.005.
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