Natural Gas News – May 23, 2025

Natural Gas News – May 23, 2025

Futures Slide Toward 200-Day Average as Storage, Weather Weigh

Natural gas futures dip toward the 200-day moving average at
$3.176 support after a massive 120 Bcf EIA storage injection raises bearish pressure. Weather-driven demand remains weak, and strong solar output continues to offset gas-fired electricity generation. Permian spot prices turn negative as production holds above 105 Bcf/d, signaling oversupply and infrastructure strain. U.S. natural gas futures are slipping, with the market eyeing a retest of the crucial 200-day moving average at $3.176. The technical support has held firm twice in recent weeks, but renewed bearish pressure—fueled by record storage builds and weak short-term demand—may tip the balance this time. A breakdown below this level could trigger accelerated selling as traders assess the oversupplied market backdrop. For more information, go to
https://tinyurl.com/4e3tb559

WGC Rising gas output, pipeline supplies slow China’s LNG demand

China’s rising natural gas output and pipeline supply are slowing its liquefied natural gas imports this year, capping prices in the region, but industry executives expect LNG demand from its industrial and power sectors to grow in the long run. Imports to the world’s top LNG importer fell to 20 million metric tons during the first four months of this year, down from nearly 29 million tons in the corresponding period last year, customs data showed, due to mild weather and buyer resistance to higher prices. Chinese firms are also re-selling instead of importing U.S. cargoes after Beijing imposed a 15% import tariff in a trade war with Washington. In the first quarter, China’s domestic gas production rose 2.7 billion cubic metres (bcm) while pipeline gas imports i… For more information, go to https://tinyurl.com/2s3rabbu