Lots of heat in the forecast in the short-term forecast. The current GFS Ensemble and ECMWF Ensemble is showing temps well beyond the 10Y normal starting this weekend.
The continuous heat is the forecast is putting upward pressure on prices as burns near 40 Bcf/d. The Aug contract is trading higher this morning after hitting a low of 1.52 last week.
Today’s Fundamentals:
Daily US natural gas production is estimated to be 84.3 Bcf/d this morning. Today’s estimated production is +0.1 Bcf/d to yesterday, and -0.02 Bcf/d to the 7D average.
Natural gas consumption is modelled to be 69.7 Bcf today, +2.15 Bcf compared to yesterday and +0.73 Bcf to the 7D average. US power burns are expected to be 38.7 Bcf today, and US ResComm usage is expected to be 8.0 Bcf.
Net LNG deliveries are expected to be 4.5 Bcf/d today.
Mexican exports are 6.0 Bcf/d. Net Canadian imports increased to 3.8 Bcf/d.
Bloomberg IM: Het Shah
enelyst DM: @het.co
Tel: 917-975-2960
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ION-Energy-Daily-Report-June-29-2020.pdf