Tuesday, December 19th saw the front-month NYMEX Natural Gas Futures Contract open at $2.422, eight cents below Monday’s closing price of $2.503. Continuing the pre-session downward momentum due to heating demand vanishing from the short-term forecast, prices tallied an intraday low of $2.385 at 10:00AM. Finding support after slipping into oversold territory once again, the contract rallied through midday until achieving an intraday high of $2.512 at 1:25PM as traders held out hope for the return of seasonal temperatures to close out the month. January closed higher on Tuesday at $2.492.
The EIA Natural Gas Storage Report is due out on Thursday at 10:30AM. The report is expected to show an 84 BCF withdrawal from storage for the week ended December 15th. This compares to an 87 BCF withdrawal at this time last year and a five-year average withdrawal amount of 107 BCF.
As of 6:05AM EST this morning in Globex, WTI Crude was up 96 cents; Natural Gas was up four cents; Heating Oil was up four cents; and Gasoline was up slightly.
For access to Sprague’s full Natural Gas Market Watch Report including commentary not posted here, please send your request to natgas@spragueenergy.com or call 1-855-466-2842.
