Natural gas (short term delivery) sharply rose on Wednesday only to tumble down on the last few days of the week. According to the latest EIA report, the NG storage also declined; this shift back to extraction may have curbed to the plunge in natural gas prices. During last week the Henry Hub future (short term delivery) declined by 0.31%.
Here is a short analysis of the recent shifts in natural gas market for the week ending on December 7th 2012:
Natural Gas Market– December Review
The Nymex Henry Hub Future (short term delivery) decreased during last week by 0.31% and by Friday reached $3.55/mmbtu; its average daily change was -0.03%, its weekly average price was 2.5% below the previous average price.
The gap between the NG future and spot prices – future minus spot – was mostly in contango during the week.
Natural Gas Charts
The following charts show the shifts in Nat Gas future (Nymex Henry Hub) in $/mmbtu between December 3-7.
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 decline in the price of natural gas during most of last week sans Monday and Wednesday.
According to the latest EIA review on natural gas, the underground storage (Billion Cubic Feet) declined, after it had increased in the previous week, by 73 Bcf to 3,804 billion cubic feet for all lower 48 states; the NGs storage was 4.6% above the 5-year average, but 0.9% below the storage level during the parallel week in 2011.
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