From: research
Sent: Thursday, April 09, 2020 7:16:56 AM (UTC-06:00) Central Time (US & Canada)
To: research
Subject: Daily Market Report – April 9, 2020
Today the EIA reports the storage activity for week ending April 3rd. This will be the first injection of the season and current estimates are quite wide – +10 to +37 Bcf being injected across the L48. We are projecting a +32 Bcf. The current Bloomberg whisper is +31, and Bloomberg survey is +29.
Today’s virtual meeting amongst OPEC++ nations will be both meaningful for WTI and Henry Hub prices. WTI prices are already up this morning on hopes that oil producing nations will be able to agree on some sort of coordinated supply cut. Below are the was the latest Crude Oil and Natural Gas supply forecast from the EIA STEO report published earlier this week. The EIA painted a grim picture for US supply. This will likely change after today’s meeting.
Latest from the STEO from April 7
Fundamentals:
Daily US natural gas production is estimated to be 90.4 Bcf/d this morning. Today’s estimated production is -0.4 Bcf/d lower than yesterday, and -1.0 lower higher than the 7D average.
Natural gas consumption is modelled to be 76.8 Bcf today, +2.2 Bcf higher than yesterday and +0.84 Bcf higher than the 7D average. US power burns are expected to be 27.9 Bcf today, and US ResComm usage is expected to be 20.0 Bcf.
Net LNG deliveries are expected to be 7.5 Bcf/d today. Sabine Pass continues to hold steady around 3.3 Bcf/d which is 75-80% of its peak intake.
Mexican exports are 4.9 Bcf/d. Canadian imports increased to 4.2 Bcf/d.
Bloomberg IM: Het Shah
enelyst DM: @het.co
Tel: 917-975-2960
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ION-Energy-Daily-Report-Apr-9-2020.pdf