Natural Gas Falls Further After EIA Storage Data

1043 ET – Natural gas prices extend earlier declines and are on a possible course for a fourth straight day of declines, down 3.5% at $2.095/mmBtu following a weekly EIA storage report that landed close to what analysts expected. The US government agency says gas inventories climbed by 54 billion cubic feet last week compared to a 52-bcf average forecast in a WSJ survey, and compared to the five-year average rise of 78 bcf. Unseasonably cold weather in the Midwest last week boosted heating demand, causing the below-average injection. Gas inventories are now 2.063 trillion cubic feet, or 19.8% above normal. That’s bearish, but not as bearish as the 22% surplus a week ago. (dan.molinski@wsj.com)

Natural Gas Prices Flat Ahead of EIA Storage Report

0845 ET – Natural gas prices rise a marginal 0.1% to $2.173/mmBtu after falling by 10% over the past three sessions in a bearish move that essentially puts the market back to its ranges seen throughout April, and just shy of lows not seen since 2020. The selling was due mainly to risk aversion amid broader-market fears over a recession, although fundamentals remain bearish amid mild temperatures and strong gas production rates. Investors now await a weekly EIA storage report due at 10:30 am ET that may offer some price support. A WSJ survey forecasts a 52 billion cubic feet injection that would be well below the average 78-bcf rise and would help trim a weighty storage surplus. (dan.molinski@wsj.com)