We examine the latest developments in the natural gas market.
Natural gas was last trading unchanged near $3.25/mmbtu—close to six-month lows—after the Energy Information Administration reported that operators injected 96 billion cubic feet into storage last week, above the 74 to 78 bcf build most analysts were expecting.
The EIA said that various adjustments to the storage figures increased the reported build by 14 bcf, thus the actual build based on supply and demand was 82 bcf.
Still, both figures were well above last year’s build of 24 bcf and the five-year average build of 40 bcf.
In turn, inventories now stand at 2,941 bcf, which is 300 bcf below the year-ago level and 25 bcf above the five-year average (calculated using a slightly different methodology than the EIA).