May NYMEX Natural Gas Futures Contract Closed at $2.517 on Wednesday, April 18th

Wednesday, April 17th saw the front-month NYMEX Natural Gas Futures Contracts open at $2.560, a penny below Tuesday’s closing price of $2.572.  Reaching the intraday high of $2.561 within minutes of opening, the contract was quick to plummet to the $2.52 level.  With large storage injections expected over the next few weeks and no support from the latest weather forecasts, bearish traders are currently controlling the market.  Despite oversold conditions, we shouldn’t expect a recovery any time soon other than temporary profit-taking.  Slipping to a near three-year intraday low of $2.514 at 2:20PM, May closed lower on Wednesday at $2.517.

The EIA Natural Gas Storage Report is due out at 10:30AM today.  The report is expected to show a 94 BCF injection to storage for the week ended April 12th.  This compares to a 36 BCF withdrawal at this time last year and a five-year average injection amount of 21 BCF.

As of 8:45AM EST this morning in Globex, WTI Crude was up 23 cents; Natural Gas was down one cent; Heating Oil was up one cent; and Gasoline was up two cents.  
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