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Henry Hub Steady With Domestic Demand Maintaining Above Normal

NATGAS

US Henry Hub holding steady after falling back to levels from mid last week after the surge higher on 18 May. Strong domestic demand remains supportive, but upside is limited by current high production levels and healthy storage while LNG exports remain steady supported by strong demand from Europe.

    • US Natgas JUN 23 up 0.5% at 2.33$/mmbtu
  • Domestic production dipped down to 100.1bcf/d yesterday compared to flows over 101bcf/d earlier this week.
  • Domestic demand is still above normal with today estimated at 63.4bcf/d according to Bloomberg compared to the seasonal normal of around 61bcf/d at this time of year.
  • The latest US weather forecast has turned slightly cooler with at or below normal temperatures in southern regions but above normal still in the north.
  • Delivery flows to the US LNG export terminals are today unchanged at 12.8bcf/d according to Bloomberg and roughly in line with the average flows seen so far this month.
  • Export flows to Mexico are today estimated at 6.5bcf/d.

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