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WEEKLY MARKET UPDATE
June 13, 2019
Natural Gas

Downward pressure on natural gas prices persists and is continuing to push July 2019 prices towards $2.30/MMBtu. The 12 month strip is currently at more than a three year low at $2.535/MMBtu.

Today's injection of 102 Bcf raised total gas in storage to 2,088 Bcf, 189 Bcf ahead of last year's level.
Electricity

Despite being up more than $2/MWh from last week, the 30 day average price of power is still low at only $22.68/MWh.

Electric futures have crept further downward following last week's sharp fall of more than $2/MWh. The 12 month strip is now $32.38/MWh.
 
 
12 & 24 Month NYMEX Strip
12 & 24 Month Zone A Power Strip
 
 
 
This document is intended for indicative purposes only. All information contained within this report is acquired from third party sources and EnergyMark makes no representations or warranties, express or implied, as to the accuracy of the information provided herein. EnergyMark is not liable for any actions or decisions made in reliance on the information provided in the report.
 
As the hot months linger, it will be natural gas that is leaned on most to supply the electricity that we need to run our air conditioners and keep us cool.
Generally, U.S. gas demand for power in summer is 35-40% higher than what it was five years ago, with so much more coming. The good news is regions across the country are expected to have plenty of reserves to keep up with power demand.
Across the U.S., gas could supply a record 40-43% of U.S. electricity this summer.
We know that natural gas will continue to be the go-to power source: coal and nuclear plants are retiring, and while growing, wind and solar are too intermittent, geography limited, and transmission short to compensate like natural gas can. This year, some 2,000 MW of coal was retired in February alone, with 7,420 MW expected to be closed in 2019. Another 2,500 MW and 4,300 MW of nuclear are expected to be leaving the U.S. power system in 2020 and 2021, respectively.

Read the full article here

WEATHER WATCH
 
NOAA 8-14 Day Outlook
NOAA 30 Day Outlook
 
 
 
 

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