Natural Gas – Weekly Recap February 11-15

Natural gas (short term delivery) continued to decline during last week.  According to the latest natural gas storage report, the natural gas storage contracted again by a slower pace than the average five years. According to the recent EIA report, the NG storage withdrawal was 157 Bcf; this withdrawal in the storage might have contributed to the decline of natural gas prices. During last week the Henry Hub future (short term delivery) fell by 3.73%.

Here is a short analysis of the recent changes in natural gas market for the week ending on February 15th 2013:

Natural Gas Market – February Report

The Nymex Henry Hub Future (short term delivery) fell again during last week by 3.73% and by Friday reached $3.15/mmbtu; its average daily change was -0.73%; its weekly average price was 3.36% below last week’s average price.

The difference between the NG future and spot prices – future minus spot – continued to be in backwardation during last week.

Natural Gas Charts

The following charts show the developments in Nat Gas future (Nymex Henry Hub) in $/mmbtu between February 11-15.

Natural Gas price  chart -  February 11-15  2013As seen in the chart herein, the NG prices (Henry Hub future and spot) decreased during last week.


In the second chart are the daily percent shifts of the Henry Hub spot and Nymex Henry Hub future (short term delivery).  The chart shows the price fluctuations of natural gas during last week.

Natural Gas chart - percent change February 11-15 2013NG Storage Update – EIA Report:


Natural Gas Storage

The underground natural gas storage (Billion Cubic Feet) fell during the previous week by 5.85% or by 157 Bcf; the storage reached 2,527 billion cubic feet for all lower 48 states; the current storage is 16% above the 5-year average but 9.7% below the storage during the same week in 2012. During the same week in February 2012 the NG extraction was 127 Bcf, and the five year average extraction for the parallel week of February was 166 Bcf. This news is might keep pulling down the prices  of natural gas and bring them back up. This week’s withdrawal was mostly driven from Eastern consumption region with a 116 Bcf extraction.

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