Natural Gas: Understanding Market Fluctuations

Tuesday, April 7th saw the front-month NYMEX Natural Gas contract open at $2.848, $0.037 above Monday’s closing price $2.811. Posting cautious ascent throughout the day, the contract tallied an intraday low of $2.840 at 10:35AM and intraday high of $2.888 at 11:05AM. The Nat Gas market continues to balance bearish domestic fundamentals against ongoing geopolitical tensions with Iran. Trading sideways along $2.865 into the afternoon, May closed higher on Tuesday at $2.870.

The EIA Natural Gas Storage Report is due out Thursday at 10:30AM. The report is expected to show a 44 BCF injection to storage for the week ended April 3. This compares to a 57 BCF injection this time last year and a five-year average injection amount of 13 BCF.

As of 6:25AM this morning in Globex, WTI Crude was down $17.900; Natural Gas was down $0.149; Heating Oil was down $0.704; and Gasoline was down $0.318.

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

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