Natural Gas Contract Analysis for the Upcoming Week

Tuesday, April 28th saw the front-month NYMEX Natural Gas contract open at $2.530, $0.020 below Monday’s $2.550. The May contract settled higher on Tuesday at $2.559

Ready to assume the front-month position, the June contract opened at $2.705, $0.024 below Monday’s closing price of $2.729. Trading along either side of $2.720 through midday, tallying the intraday high of $2.744 at 10:30AM, prices then trended lower through midday. Pressured lower by stout supply levels and weak weather-driven demand, June closed lower on Tuesday at $2.691.

The EIA Natural Gas Storage Report is due out Thursday at 10:30AM. The report is expected to show a 79 BCF injection to storage for the week ended April 24. This compares to a 107 BCF injection this time last year and a five-year average injection amount of 63 BCF.

As of 7:20AM this morning in Globex, WTI Crude was up $3.290; Natural Gas was down $0.031; Heating Oil was up $0.123; and Gasoline was up $0.097.

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