Natural Gas Fundamental Analysis November 12, 2012, Forecast

Analysis and Recommendations:

Natural Gas fell over 1.70% to trade at 3.546 after the EIA reported a drop in residential use and higher inventories.

While shale natural gas developments are reshaping the overall energy mix, it will be tough to replicate the success of the United States, said OPEC. The Organization of Petroleum Exporting Countries, in its World Oil Outlook report, said shale natural gas production in the United States increased from 15 billion cubic feet per day in 2010 to 25 billion cubic feet per day this year.

In addition, most traders expect record high inventories to add more weight to the downside despite some expectations for the season’s first withdrawal next week. A large number of nuclear power plants still offline for maintenance could limit more downside, traders said.

Nuclear plants that shut due to flood waters from Hurricane Sandy had returned to service, but a number remained out for autumn refueling, a factor that has supported gas prices as utilities replace lost nuclear generation with gas-fired units. Nuclear outages totaled about 26,100 megawatts, or 26 percent of U.S. capacity, down from 26,900 MW out on Thursday, but up from 18,200 MW out a year ago and a five-year outage rate of about 22,100 MW.

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.

Economic Data November 9, 2012 actual v. forecast

 

WEEKLY

• Natural Gas Weekly Update
  Release Schedule: Thursday between 2:00 and 2:30 p.m. (Eastern Time)
• Weekly Natural Gas Storage Report
  Release Schedule: Thursday at 10:30 (Eastern Time) (schedule)

Government Bond Auction

Date Time Country 

Nov 12 10:10 Slovakia

Nov 12 10:30 Germany

Nov 13 01:30 Japan

Nov 13 09:30 Holland

Nov 13 10:10 Greece

Nov 13 10:10 Italy

Nov 13 10:30 Belgium

Nov 13 15:30 UK

Nov 14 10:10 Italy

Nov 14 10:10 Sweden

Nov 14 10:30 Germany

Nov 14 10:30 Swiss

Nov 14 11:00 Norway

Nov 15 01:30 Japan

Nov 15 09:50 France

Nov 15 10:30 UK

Nov 15 10:50 France

Nov 15 16:00 US