July NYMEX Natural Gas Futures Contract Closed at $2.958 on Thursday, May 27th

Thursday, May 27th saw the front-month NYMEX Natural Gas Futures Contract open at $2.999, three cents below Wednesday’s closing price of $3.027.  Trading along either side of $3.005 until 10:30AM, prices then tumbled lower as the bearish storage injection fell outside of even the highest analysts’ expectations.  Stabilizing near $2.945 at 11:00AM, the contract fell to an intraday low of $2.914 at 12:40PM.  Focusing on the expected above-average temperatures to fuel a recovery into the afternoon, July closed lower on Thursday at $2.958.

Please note that the Chicago Mercantile Exchange and Sprague will be closed on Monday, May 31, 2021 in observation of Memorial Day.  The next storage report will be published on Tuesday, June 1, 2021.

The EIA Natural Gas Storage Report published on Thursday showed a 115 BCF injection to storage for the week ended May 21st – above the market estimate of 102 BCF.  Total working gas in storage was reported as 2,215 BCF; 14.7% below this time last year and 2.8% below the five-year average.

As of 7:00AM EST this morning in Globex, WTI Crude was up 35 cents; Natural Gas was up two cents; Heating Oil was up one cent; and Gasoline was up one cent.
Natural Gas Glossary
Natural Gas Supplier
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.

This market update is provided for information purposes only and is not intended as advice on any transaction nor is it a solicitation to buy or sell commodities. Sprague makes no representations or warranties with respect to the contents of such news, including, without limitation, its accuracy and completeness, and Sprague shall not be responsible for the consequence of reliance upon any opinions, statements, projections and analyses presented herein or for any omission or error in fact. The views expressed in this material are through the period as of the date of this report and are subject to change based on market and other conditions. This document contains certain statements that may be deemed forward-looking statements. Please note that any such statements are not guarantees of any future performance or results and actual results or developments may differ materially from those projected. The whole or any part of this work may not be reproduced, copied, or transmitted or any of its contents disclosed to third parties without Sprague’s express written consent.