Henry Hub Higher Despite Relinquishing Gains

Henry Hub continues to be trading higher on the day, although has been erasing earlier gains since 11:50 ET, with the reversal accelerating from 13:00 ET.

• Mixed weather forecast and a dip in production during February have added some support, although this remains capped by high storage levels and curtailed LNG exports.
• US Natgas MAR 24 up 0.6% at 1.61$/mmbtu
• US Natgas AUG 24 up 1.7% at 2.46$/mmbtu
• US gas production is today estimated at 102.5bcf/d according to Bloomberg compared to an average of 102.8bcf/d over the previous week but as high as 105bcf/d at the start of February.
• Feedgas flows to US LNG export terminals are today at 13.93bcf/d according to Bloomberg.
• Lower 48 natural gas demand is estimated down at the lowest since late December at 78.2bcf/d according to Bloomberg and near the lower end of the previous five year range.
• The latest weather forecast shows above normal temperatures moving eastwards across the country this week to be replaced by colder weather in the west. The NOAA 6-14 forecast shows a split with warm weather in the east of the US and cold weather in the west.