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Natural Gas Fundamental – November 18, 2015 – Forecast

By:
Barry Norman
Updated: Nov 17, 2015, 11:51 UTC

Analysis and Recommendations: Natural Gas dipped 74 points to trade at 2.311 as traders booked profits this week after gains on Friday and Monday after a

Natural Gas Fundamental – November 18, 2015 – Forecast

Natural Gas Fundamental – November 18, 2015 - Forecast
Natural Gas Fundamental – November 18, 2015 - Forecast
Analysis and Recommendations:

Natural Gas dipped 74 points to trade at 2.311 as traders booked profits this week after gains on Friday and Monday after a supportive inventory report. Temperatures remained stable with the hopes of a cold front coming in across the US. Updated news on the El Nino weather situation is now showing more severe temperatures over the short term.  Temperatures could be below normal for much of the Midwest through Nov. 30, according to Commodity Weather Group LLC. Chicago may fall to 19 degrees Fahrenheit (minus 7.2 Celsius) on Nov. 27, 10 degrees below normal, AccuWeather data show.

“Models are turning a bit colder, and that gave us a little bit of a boost,” said Phil Flynn, a senior market analyst at Price Futures Group in Chicago. “There’s still debate on the longer-term outlook for winter. As long as that stays mild, natural gas will have a hard time sustaining a rally.”

Natural gas for December delivery rose 2.4 cents, or 1 percent, to settle at $2.385 per million British thermal units on the New York Mercantile Exchange. Volume was 21 percent above the 100-day average.

Natural Gas Weekly Weather Outlook

November 13-19th: A strong weather system will track across the Midwest and eastern US today with showers along the cold front and rain and snow behind it. Morning lows will be quite chilly into the core of the colder air with 20s and 30s, including teens over the Rockies. This system will bring stronger demand to the East this weekend after being lighter than normal this week. High pressure and milder temperatures over the western US will give way to another Pacific weather system this weekend into early next week with another round of rain and snow. This will again force the mild ridge back over the eastern US for much of next week with temperatures warming back above normal. Overall nat gas demand will be MODERATE.

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.

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)

 

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