• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 58 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 4 hours Reality catching up with EV forecasts
  • 18 hours Famous author Michael Crichton talks about the "Climate Change Religion" aka Feudalism 2.0
  • 6 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 12 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 12 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas

Natural Gas Prices Jump On Cold Weather Forecast

Natgas February Nymex contracts jumped 3.5% Monday morning due to colder weather trends and increased heating demand forecasted for the next ten days. 

Bespoke Weather Services said since last week, weather models have shifted "materially colder" for parts of the US through mid-January. 

ADVERTISEMENT

"While the 15-day period as a whole remains solidly warmer than normal, we have chipped away at a good deal of the warmth, and it is important, in our view, to note that the colder changes are focused over the next eight to 10 days," Bespoke said. "This signals risk that models toward mid-month and beyond could again be too warm."

US Temapture deviations through mid-month show large swaths of the country, at times, will record colder than average temperatures. 

ADVERTISEMENT

Colder temperatures will increase energy demand to heat a structure, shown in the chart below: 

With colder weather ahead, Refinitiv data estimates natgas demand, including exports, would rise from 121.1 billion cubic feet per day this week to 126.1 billion cubic feet per day next week.

By Zerohedge.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News