Natural Gas: Key Factors Influencing Prices

Tuesday, June 16th saw the front-month NYMEX Natural Gas contract open at $3.152, $0.005 above Monday’s closing price of $3.147. Recording the intraday low of $3.127 within minutes of the opening bell, prices trended higher into the morning. Despite relatively steady fundamentals; strong production, cooling temperatures, steady LNG, and Iran uncertainty, the contract continued higher into the afternoon to record the intraday high of $3.262 at 1:35PM. July closed higher on Tuesday at $3.239.

The EIA Natural Gas Storage Report is due out Thursday at 10:30AM. The report is expected to show a 75 BCF injection to storage for the week ended June 12. This compares to a 95 BCF injection this time last year and a five-year average injection amount of 73 BCF.

As of 7:35AM this morning in Globex WTI Crude was up $0.690; Natural Gas was up $0.045; Heating Oil was up $0.027; and Gasoline was up $0.005.

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