Natural Gas News – June 20, 2024
Natural Gas News – June 20, 2024
Natural Gas Outlook Mixed Amid Volatile European Markets
Germany and the Czech Republic are pushing the European Union to completely eliminate the remaining energy sources Europe imports from Russia. There has been no change in the dominant dynamics of the European gas market, with inventories building slower than usual and the markets still proving highly sensitive to supply issues. Henry Hub natural gas prices have pulled back from their 5-month high of $3.13/MMBtu a week ago to trade at $2.89/MMBtu at Tuesday’s close, still good for a nearly 80% jump from their late-April lows. U.S. financial markets remained closed on Wednesday in observance of Juneteenth, a day after news about downbeat U.S. retail sales for
May raised concerns about lackluster economic activity. According to the Commerce Department’s Census Bureau, retail sales grew just 0.1%, missing expectations… For more info go to https://tinyurl.com/7hp66885
Traders Focusing on Potential Weather Impact on Prices
Natural gas futures resume trading with focus on U.S. heatwave and Gulf storm. Market sentiment remains cautious amid weather uncertainty. Despite recent rallies, excessive heat is factored in. Traders now shift focus to 10-15 day weather forecasts for market direction. Tropical storms typically lead to demand drops and LNG disruptions, affecting gas prices. U.S. natural gas futures are trending lower as traders respond to weather forecasts and increased
production levels. Uncertainty surrounding a tropical storm in the Gulf of Mexico also influences market sentiment, contributing to a bearish outlook. At 12:15, natural gas is trading $2.848, down $0.061 or -2.10%. Natural gas futures began the week with a fourth consecutive decline due to strong production levels and increased flow capacity…
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