Natural Gas Trading: Prices and Storage Insights

Monday, May 12^th saw the front-month NYMEX Natural Gas contract open at $3.702, $0.093 cents above Friday’s closing price of $3.795. Marking the intraday high of $3.719 soon after the opening bell, steady production and comfortable weather conditions took the wind out of last week’s rally as prices fell to the intraday low of $3.608 at 9:45AM. Trading sideways through the duration of the session, June closed lower on Monday at $3.646.

The EIA Natural Gas Storage Report published last Thursday posted a 104 BCF injection to storage for the week ended May 2 – below the market estimate of a 97 BCF injection. Total working gas in storage was reported as 2,145 BCF; 16.1% below this time last year and 1.4% above the five-year average.

As of 6:50AM this morning in Globex, WTI Crude was up $0.570; Natural Gas was up $0.022; Heating Oil was up $0.015; and Gasoline was up $0.006.

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