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

Daily Market Update May 29, 2020

Early Morning Update

The Jul20 natural gas contract is trading down $0.01 at $1.81.  The Jul20 crude oil contract is down $0.58 at $33.13. 


Large natural gas storage builds continue, as the U.S. Energy Information Administration reported a larger-than-expected storage injection yesterday of 109 Bcf, beating market expectations of 103 Bcf. Current storage levels are 2.612 Tcf, which are 800 Bcf ahead of 2019 levels and 400 Bcf ahead of the 5-year average. Strip pricing has remained relatively stable over the past week, with the 12-month strip opening the week and closing yesterday at $2.42. The expensive Cal ‘21 strip lost two cents to close at $2.65. LNG exports continue to drop with waning gas demand. Export levels have returned to last year’s levels of around 6.0 Bcf/d, with no foreseeable end in sight for the continuing decline. Production also slipped this week to 86 Bcf/d, dropping from its peak of 92 Bcf/d in March. Oil prices have shown some signs of life over the past few weeks, breaking above $33 and making it viable for some companies to start producing again. Associated gas production could rebound along with it. Weather is heating up in the West and the Mid-Con over the next 10 days. The East is looking at a cool-off back to 30-year normal temperatures, but will start to heat up again as we approach June.


Market Update052920

Market Settles 052820


To subscribe to Daily Market updates please visit