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

Daily Market Update July 20, 2022

Early Morning Update

The Aug ‘22 natural gas contract is trading up $0.21 at $7.47.  The Aug ‘22 crude oil contract is down $1.52 at $102.70.

Summary

The energy market has seen continued volatility and market movement. The NYMEX natural gas prompt month is being influenced by extensive and oppressive heat covering most of the United States. The extra demand required to supply power generation is offsetting some of the slight increases to dry production as maintenance slows for the month. Current production levels are around 94.5 Bcf/d, but have seen recent lows around 93.8 Bcf/d. Should maintenance not be present, production would be expected to be around the 97 Bcf/d level, demonstrating the impact that maintenance can have on total supply. This is expected to end soon, but analysts are still concerned if the extra production will be enough to help storage injection levels. Market conditions are being stressed by the overall heat, as well, pulling many resources to help power generation in the hottest parts of the country. These stressors have pushed the market up to have the prompt settle above the $7/MMBtu level for the last few days, while just two weeks ago had several trading days below the $6 handle. Regardless, these prices are still much higher than recent 8-year history, placing energy cost strain on all consumers.

 

Market Update 07 20 2022

Market Settles 07 19 2022

 

3.238.90.95