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

Daily Market Update July 1, 2020

Early Morning Update

The Aug20 natural gas contract is trading up $0.03 at $1.74.  The Aug20 crude oil contract is down $0.80 at $38.90.

Summary

The NYMEX natural gas prompt month gained four cents yesterday, opening the day at $1.709/MMBtu and closing at $1.751/MMBtu. As the month of June comes to an end, heat waves across various regions of the country continue to bolster demand for natural gas via electric generation demand, also known as power burn. Power burn demand, specifically in the Northeast, has averaged nearly 1.2 Bcf/day higher for the month of June 2020 vs. June 2019. Several analysts see this rising trend as not only a function of higher temperatures, but also due to the growing number of natural gas-fired generators that have been added to the generation stack over recent years. Production of natural gas remains lower compared to its recent highs, averaging near 87 Bcf/day. Looking ahead, tomorrow’s weekly storage report to be released by the U.S. energy Information Administration for the week to June 26 is expected to report an injection that is about 15 Bcf greater than the 65 Bcf 5-year average.

Market Update070120

Market Settles 063020

18.215.33.158