- What started off as a calm week on the NYMEX natural gas market picked up on Wednesday. Over the course of Wednesday and Thursday the market gained over 15 cents on the prompt month and just under 15 cents on the 12 month strip. However, the market couldn’t find the support it needed and has since shed much of these gains by dropping around 5 cents on Friday and an additional 6 cents as of Monday afternoon at 3:00 pm.
- The winter 2015-2016 strip followed suit with the rest of the 12 month average by gaining just over 9 cents last week. This bullishness came after the strip tested pricing levels under $3.00. Production levels in the coming months will be a determining factor for whether or not there is support at that level.
- An injection of 63 BCF into storage came in above expectations on Thursday but the market failed to produce a bearish reaction. Some analysts believe this is due to uncertainty in the market about the strength of production levels heading into the summer.
- The forecast for the coming week shows cool weather in much of the northeastern region of the country. At this point in the springtime, this type of forecast is more bearish than bullish with electricity end users waiting to turn on their air conditioning units in favor of opening a window.
- Power prices tracked closer to gas prices than they have in re-cent weeks with most PJM markets gaining around 3% on the week. Pennsylvania was not quite as bullish as the other PJM market areas gaining just under 2% on the week.