Daily Market Update November 05, 2021
Early Morning Update
he Dec ‘21 natural gas contract is trading down $0.09 at $5.63. The Dec ‘21 crude oil contract is up $0.74 at $79.53.
Summary
et another bumpy day at the front of the NYMEX curve, with an intra-day range of $0.34 for the prompt month. The market ultimately settled higher by $0.046 to close the day at $5.716. The market was primed for a rally after the EIA reported a build into storage of just 63 Bcf, below expectations, but there was little immediate reaction to the news. In the afternoon, volatility increased with the prompt month trading all the way up to $5.876 before easing at the close.As volatile as the NG markets have been, power has been even more so. Index pricing has been very high as coal plants continue to struggle with sourcing enough fuel to run, and gas plants being forced into service, despite very high gas prices. Cold temps this week haven’t helped as overnight lows have dipped below freezing for many regions. Temps look set to moderate next week with above-average temps being forecast for much of the country - hopefully index prices ease as a result.
Loading please wait...