Electricity Markets
Forward pricing stabilized this week after increased withdrawals from storage and a return to more seasonal winter temperatures.
Spot rates saw high volatility over the past week as a brief cold snap moved through the Northeast, driving spot pricing to near-seasonal highs briefly over the weekend. A quiet week is expected with warmer weather moving in, but will not bring and end to the market volatility.
Natural Gas Markets
No big swings in natural gas futures over the past week. 2024 and 2025 forward pricing years came down slightly. Forward markets continue to remain steady for the remainder of 2023.
Futures as of 2/9/2023 versus previous week:
| Current | ||
| Mar-23 | $2.433 | -$0.103 |
| Apr-23 | $2.504 | -$0.091 |
| May-23 | $2.671 | -$0.054 |
| Jun-23 | $2.855 | -$0.082 |
| Jul-23 | $3.029 | -$0.126 |
| Aug-23 | $3.028 | -$0.174 |
Natural Gas Inventory
Working gas in storage was 2,366 BCF as of Friday, February 3rd. According to EIA estimates this represents a net decrease of 217 Bcf from the previous week.
The Baker Hughes exploration gas count decreased by 8 rigs for a total of 150 this week. There are 116 additional rigs in operation than at this time one year ago.
Weather Update
Temperatures will be above average across the Midwest and the East Coast, and below average across the West.
Hurricane Watch: Click here to view the National Hurricane Center site.
News : Arctic blast pushes US Northeast spot gas prices to historic highs- Multiple spot gas prices in the Northeast soared to record highs during Feb. 2 trading, as an incoming artic blast is expected to send wind chills below minus 30 degrees Fahrenheit.
If you would like to receive the Energy Market Update to your inbox weekly, please click here to submit your name and email address. Disclaimer: This information is provided for the use of our customers and potential customers. Power Management Company assumes no responsibility or liability for the accuracy or completeness of pricing or information in this document. Historical data was obtained from sources that we believe to be reliable, but we do not guarantee its accuracy or completeness. It is not intended to provide advice or recommendation. Views are subject to change.