Natural gas (short term delivery) changed direction and rallied during last week and reached its highest level in two weeks. According to the recent EIA report, the NG storage declined by 82 Bcf; this fall in the storage might have contributed to the rally in natural gas prices. During last week the Henry Hub future (short term delivery) increased by 4.35%.
Here is a short analysis of the recent changes in natural gas market for the week ending on December 21st 2012:
Natural Gas Market – December Review
The Nymex Henry Hub Future (short term delivery) increased during last week by 4.35% and by Friday reached $3.45/mmbtu; its average daily change was 0.88%, its weekly average price was 0.6% above the previous average price.
The difference between the NG future and spot prices – future minus spot – was still in contango during the week.
Natural Gas Charts
The following charts present the changes in Nat Gas future (Nymex Henry Hub) in $/mmbtu between December 17-21.
As seen in the chart above, the NG prices (Henry Hub future and spot) increased mainly during most of the week.
In the second chart are the daily percent changes of the Henry Hub spot and Nymex Henry Hub future (short term delivery). The chart presents the upward trend in the price of natural gas during last week.
NG Storage Update – EIA Report:
According to the recent EIA review on natural gas, the underground storage (Billion Cubic Feet) decreased in the recent week by 82 Bcf to 3,724 billion cubic feet for all lower 48 states; the NGs storage was 10.2% above the 5-year average, and 1.8% above the storage level during the same week in 2011.
The recent NG storage weekly update as of December 14th.
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