Market Commentary

Weekly Recap

June 16, 2014

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  • The NYMEX steadily declined throughout the week until Thursday brought a gain of over 25 cents on the prompt month. Friday shed a few pennies from this increase and the week settled just under 3 cents up from last week.
  • This week’s storage injection of 107 BCF fell short of expectations and broke a streak of increasing injections. The NYMEX reacted with an immediate spike of 10 cents across both the prompt month and 12 month strip. The strip settled a little under 20 cents up on the day.
  • Power prices once again ignored NYMEX movement with small decreases across PJM. Even New York City followed suit with a dip of just under 12 cents.
  • While near term forecasts like NOAA’s 6-10 day outlook shown below continue to indicate warming, it is important to note that El Nino is currently in effect and the long term summer forecasts continue to call for a mild summer.