Natural Gas – Weekly Recap June 10-14

Natural gas market cooled down again during the week as short term future price of natural gas (July delivery) fell again during the previous week. By the end of the previous week, the Henry Hub future (short term delivery) declined by 2.48%. According to the latest EIA natural gas storage weekly report, the natural gas storage rose again at a faster pace than the average five years did during the time frame: The NG storage injection was 95 Bcf. In comparison, during the same week last year the buildup was only 82 Bcf.

Here is a short analysis of the latest developments in natural gas market for the week ending on June 14th 2013:

Natural Gas Market – June Update

The Nymex Henry Hub Future (short term delivery) declined during last week by 2.48% and reached by Friday $3.73/mmbtu; its average daily change was -0.49%; its weekly average rate was also 4.06% below last week’s average rate.

The difference between the NG future and spot prices – future minus spot – zigzagged from Backwardation to Contango during the past several days.

Natural Gas Charts

The following charts show the developments in Nat Gas future (Nymex Henry Hub) in $/mmbtu between June 10-14.

Natural Gas price  chart -  June 10-14  2013As seen in the chart herein, the natural gas rate (Henry Hub future rate) declined by the end of the week.


In the second chart are the daily percent changes of the Nymex Henry Hub future (short term delivery).

Natural Gas chart - percent change  June 10-14  2013NG Storage Weekly Update – EIA Report:


Natural Gas Storage

The underground natural gas storage (Billion Cubic Feet) rose again during last week by 4.22% or by 95 Bcf; the storage reached 2,347 billion cubic feet for all lower 48 states; the current storage is 2.4% below the 5-year average and 20% below the storage during the same week in 2012. During the same week in June 2012 the natural gas injection was 67 Bcf, and the five year average injection to storage for the same week of June was 82 Bcf. This week’s higher than normal injection was mostly due to the Eastern consuming region, in which the injection was 57 Bcf.

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