Direct Energy Business
Market Data For Your Home Contact Us
Market Updates

Daily Market Update February 6, 2020

Early Morning Update

The Mar20 natural gas contract is trading down $0.02 at $1.84.  The Mar20 crude oil contract is down $0.25 at $50.50. 



This morning, the U.S. Energy Information Administration’s weekly storage report is expected to show a withdrawal between 125 and 132 Bcf for the week to Jan 31. A withdrawal number within this range would be about 75 Bcf less than last week’s measurement of -201 Bcf, which was most likely the largest we’ll see this winter season. For comparison, this week’s drawdown last year was 228 Bcf, and the five year average is currently -143 Bcf for this same time frame. Natural gas stockpiles are up 25% from last year, and we’re expected to exit this February up nearly 40%. Temperature forecasts through the last week of February haven’t changed much over the last week. Outlooks are still depicting the East Coast to be much above normal. Producers with short positions in 2020 are still feeling the effects of these mild forecasts, as widespread demand destruction continues to put downward pressure on prices. This low-price environment isn’t expected to reverse anytime soon, as producers who are less price-sensitive are showing no signs of curtailing their outputs. The prompt month closed down a penny yesterday at $1.861, and, once again, the 2021-2025 calendar strips all hit fresh all-time lows.

Market Update020620

Market Settles 020520

To subscribe to Daily Market updates please visit