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US Extends Gains Before EIA Stocks Data

NATGAS

US Natgas extends gains on the cooler weather forecast and expectation of higher demand ahead of the updated EIA natural gas inventory data. Front month US natural gas has risen 13.3% since a low of 3.459$/mmbtu yesterday.

    • US Natgas FEB 23 up 5.8% at 3.88$/mmbtu
  • Below normal demand due to warm weather and high domestic production so far this year is expected to have driven smaller than normal storage withdrawals during the week to 6 Jan.
  • EIA stocks data due for release later today is expected to show a small draw of -11bcf following on from the large -221bcf draw last week due to the shift from cold in late December to the warm start to January. The 5-year average for this time of year is -155bcf.

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