Natural Gas Fundamental Forecast – June 14, 2016

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Published: Jun 13, 2016, 10:07 UTC

Natural Gas gained another 34 points as summer temperatures could to gain increasing residential demand. World natural gas consumption in 2015 grew 1.7%,

Natural Gas Fundamental Forecast – June 14, 2016

Natural Gas gained another 34 points as summer temperatures could to gain increasing residential demand. World natural gas consumption in 2015 grew 1.7%, nearly triple the 0.6% percentage growth in 2014, but still below the 10-year average of 2.3%, according to the 65th edition of oil Supermajor BP Plc’s Statistical. The Energy Information Administration released its Short-Term Energy Outlook and it shows that the worst of the glut was in March. But the recent price breakout was far greater than it had forecast. That is because its price equation does not capture trading behavioral components.

Working gas in storage rose for the eighth consecutive week during the seven-day period ended June 3, the Energy Information Administration reported. At June 3, total working gas in storage was 2.97 trillion cubic feet

Natural Gas Weekly Weather Outlook (www.natgasweather.com)

Summer 2016 may be a warm one over much of the U.S. as a transition into La Niña conditions are expected, according to a June-August outlook released by The Weather Company’s Professional Division Friday.

Well-above average temperatures are expected this summer for the northern tier of states, from the Pacific Northwest into the northern Plains, Great Lakes and Northeast. Warmer than average temperatures will also extend from southern California into the central and southern Plains and Southeast. The only area where cooler than average temperatures are currently expected this summer is for portions of central and south Texas.

June 10-16th: A cool blast remains draped across the Great Lakes and Northeast with temperatures 5-15°F cooler than normal as highs only reach the 60s and 70s. Also of importance, hot high pressure over the West is shifting east to cover Texas and the central and southern US with highs of upper 80s and 90s becoming widespread including as far north and east as Chicago by late in the week or this weekend. Overall, hotter temperatures will gain ground late this week with the exceptions being the NW and NE due to weather systems arriving with showers. Overall, nat gas demand will be MODERATE.

FxEmpire provides in-depth analysis for each asset we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports, which covers the current week and are published by Sunday before the new week begins. Daily we share any new events, forecasts or analysis that affect the current day. To achieve a full accurate understanding it is important that you study all of our data and analysis as a whole.