Natural Gas Fundamental Analysis – August 7, 2015 – Forecast
Natural Gas dipped by 29 points to trade at 2.77 as traders prepare for the weekly inventory due later in the session. Weather patterns were also changing quickly in the US as the summer heat dissipated. Commodity Weather Group reported that extremely hot weather is expected over the southern parts of the US over the next two weeks. Warm weather estimates might continue to support natural gas prices. Mild weather is estimated across the East Coast and the Midwestern parts of the US over the next week.
Last week, the EIA (U.S. Energy Information Administration) reported that the gas inventories rose by 52 Bcf for the week ending July 24, 2015. The consensus of rising inventories could continue to negatively impact natural gas prices.
Natural gas prices rose for the fifth time in the last ten days. Prices fell by 1.51% more on the down days than on the up days, over the last ten trading sessions.
Natural Gas Weather.com forecast a hot dome of high pressure will dominate much of the country into early next week with widespread 90s to 100s, including all of Texas. The exception will be over the far northern US, notably the upper Great Lakes and interior NE. It will be most uncomfortable from eastern Texas and the South where high humidities will result in uncomfortable conditions and strong demand for cooling as the Heat Index exceeds 104F. The West will also remain quite hot with 90s to 100s right up to major coastal cities until cooling arrives early next week. Overall, national cooling demand will be HIGH
FxEmpire provides in-depth analysis for each currency and commodity 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.
Natural Gas Weekly Update
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