Electricity Markets
Forward markets increased slightly over the past week. New England saw its first week over week increase in almost a month. There has been plenty of daily variability in forward pricing, but week to week the changes have been minimal. No big moves expected in forward markets over the next week as we head into the heating season.
Cooler weather this week brought a slight increase in spot pricing mid-week, but retreated by the end of the week.
Natural Gas Markets
There was some decrease in forward pricing years over the past week. Winter of 2024 looks good, and 2024 remains mostly flat. A gap is beginning to open up between 2025 and 2026 forward pricing, mainly being driven by an increase in future export capabilities.
Futures as of 11/16/2023 versus previous week:
| Current | ||
| Dec-23 | $3.085 | +$0.036 |
| Jan-24 | $3.235 | -$0.093 |
| Feb-24 | $3.188 | -$0.102 |
| Mar-24 | $3.014 | -$0.070 |
| Apr-24 | $2.914 | -$0.060 |
| May-24 | $2.974 | -$0.057 |
Natural Gas Inventory
Working gas in storage was 3,833 BCF as of Friday, November 9th, according to EIA estimates. This represents a net increase of 60 Bcf from the previous week.
The Baker Hughes exploration decreased by 4 rigs, for a total of 114 this week.
Weather Update
Temperatures will be below average across most of the country
Hurricane Watch: Click here to view the National Hurricane Center site.
News : NERC finds North American power reliability risks this winter, natural gas supplies critical- A large portion of the North American bulk power system faces risk of insufficient electricity supplies this winter from prolonged, wide-area cold snaps that threaten power generation reliability and fuel supply availability for natural-gas-fired generation, the North American Electric Reliability Corporation said Nov. 8.
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