Wednesday, January 14th saw the front-month NYMEX Natural Gas contract open at $3.219, $0.200 below Tuesday’s closing price of $3.419. Tumbling lower overnight, markets chose to focus on near-time mild temperatures and healthy storage levels, despite the impending seasonal temperatures next week. Stabilizing near $3.090 by midday, prices fell to an intraday low of $3.068 at 12:45PM and again at 1:55PM. February closed lower on Wednesday at $3.120.
The EIA Natural Gas Storage Report is due out Thursday at 1030AM. The report is expected to show an 89 BCF withdrawal from storage for the week ended January 9. This compares to a 258 BCF withdrawal this time last year and a five-year average withdrawal amount of 146 BCF.
As of 7:20AM this morning in Globex, WTI Crude was down $2.010; Natural Gas was up $0.061; Heating Oil was down $0.061; and Gasoline down $0.044.
For access to Sprague’s full Natural Gas Market Watch Report including commentary not posted here, please send your request to natgas@spragueenergy.com or call 1-855-466-2842