Electricity Markets
Northeast forward markets saw a sizable increase over the past week. Markets have continued to remain volatile in response to summer heat and increases in natural gas production. Texas forward markets saw a sizable drop as Hurricane Beryl moved onshore last week.
Another warm week led to a spike in spot pricing late last week. Prolonged heat will mean continued volatility in the spot markets
Natural Gas Markets
2024 forward pricing dropped over the past week. 2025 and 2026 forward pricing dropped, but not as much as 2024. Natural gas and electric markets continuing to show further de-coupling, as has been the trend through most of 2024
Futures as of 7/11/2024 versus previous week:
| Current | ||
| Aug-24 | $2.298 | -$0.159 |
| Sep-24 | $2.313 | -$0.167 |
| Oct-24 | $2.417 | -$0.169 |
| Nov-24 | $2.826 | -$0.174 |
| Dec-24 | $3.322 | -$0.153 |
| Jan-25 | $3.605 | -$0.137 |
Natural Gas Inventory
Working gas in storage was 3,199 BCF as of Friday, July 5th, according to EIA estimates. This represents a net increase of 65 Bcf from the previous week.
The Baker Hughes exploration rig count decreased by 1 rig, for a total of 100 this week.
Weather Update
Temperatures will be above average across the West Coast, and below average across the Midwest
Hurricane Watch: Click here to view the National Hurricane Center site.
News : Strong production and storage cushion Northeast natural gas markets from surging power demand- Power sector natural gas demand in the US Northeast came close to record highs June 10 as a heatwave continued, but rising production and above-average storage levels in the region have helped to keep a lid on gas prices.
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.