• 4 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 7 minutes Countries with the most oil and where they're selling it
  • 10 minutes Stack gas analyzers
  • 13 minutes What Would Happen If the World Ran Out of Crude Oil?
  • 23 hours US Military Spends at least $81 Billion Protecting OPEC Persian Gulf Oil Shipping Lanes (16% DoD Budget)
  • 2 hours How many drilling sites are left in the Permian?
  • 23 hours "Undeniable" Shale Slowdown?
  • 6 hours Mueller Report Brings Into Focus Trump's Attempts to Interfere in the Special Counsel Investigation
  • 1 day Overheating the Earth: High Temperatures Shortened Alaska’s Winter Weather
  • 1 day China To Promote Using Wind Energy To Power Heating
  • 1 day Gas Flaring
  • 1 day Climate Change Protests
  • 7 hours Case against Trans Mountain Begins
  • 5 hours Trudeau Faces a New Foe as Conservatives Retake Power in Alberta
  • 22 hours Everything Is Possible: Germany’s Coal Plants May Be Converted to Giant Batteries
  • 14 hours U.S. Refiners Planning Major Plant Overhauls In Second Quarter
  • 2 days Oil at $40
  • 2 days Negative Gas Prices in the Permian

Breaking News:

Guaido Takes Strides To Topple Maduro

Jim Hyerczyk

Jim Hyerczyk

Fundamental and technical analyst with 30 years experience.

More Info

Why Natural Gas Prices Have Hit The Wall

Pipeline

July natural gas futures mounted a slight recovery on Thursday after the release of the weekly U.S. Energy Information Administration’s weekly storage report, however, the buying wasn’t strong enough to turn the market higher for the week. This suggests the reaction may have been fueled by short-covering.

According to the EIA, natural gas supplies in storage in the U.S. rose more than expected last week. The EIA said in its weekly report that natural gas storage in the U.S. rose by 68 billion cubic feet for the week-ended May 12. Traders were looking for a build of 61 billion Bcf.

In comparison, last week’s report showed a build of 45 Bcf for the week-ended May 5. A year ago, the increase was 73 Bcf and the five-year average is a rise of 87 Bcf.

The EIA also said that total natural gas in storage currently stands at 2.369 trillion cubic feet, 13.6% lower than levels at this time a year ago, but 10.8% above the five-year average for this time of year.

Weekly July Natural Gas Forecast

With the storage report out of the way, investors are going to go back to focusing on limited production, rising exports and the weather models.

The limited production and rising exports are going to continue to be long-term supportive. This should underpin the market on dips.

A change in the weather forecast earlier this week is the catalyst behind this week’s selling pressure. According to the latest weather models, most of the…




Oilprice - The No. 1 Source for Oil & Energy News