Natural gas futures for August delivery traded up about 1.8% in advance of the EIA’s report, at around $2.83 per million BTUs, and jumped to about $2.88 following release of the report. Last Thursday, natural gas closed at $2.86 per million BTUs, and natural gas futures peaked at around $2.88 in the past five days. The 52-week low for natural gas futures is $2.57. One year ago the price for a million BTUs was around $4.10.
Natural gas posted a decent price gain Thursday, following a modest build last week and expectations of warmer temperatures through next week driving up demand for electricity to run all those air conditioners. Temperatures in the 90s to 100s will settle over much of the west, except right along the Pacific coast. The southeastern United States can expect some slightly cooler weather, while Texas and the southern Plains states can look forward to some cooling ahead.
ALSO READ: 9 Cities Running Out of Water
Production is expected to decline by 221 million cubic feet per day in July, according to the EIA’s latest drilling productivity report from last month. That could help keep prices from declining further as the summer warms up.
Stockpiles are about 35% above their levels of a year ago and 1.1% above the five-year average.
The EIA reported that U.S. working stocks of natural gas totaled about 2.577 trillion cubic feet, around 29 billion cubic feet above the five-year average of 2.548 trillion cubic feet and 662 billion cubic feet above last year’s total for the same period. Working gas in storage totaled 1.915 trillion cubic feet for the same period a year ago.
Here is how stocks of the largest U.S. natural gas producers reacted to this latest report:
Exxon Mobil Corp. (NYSE: XOM), the country’s largest producer of natural gas, traded up about 0.7%, at $82.95 in a 52-week range of $82.11 to $104.76.
Chesapeake Energy Corp. (NYSE: CHK) traded up about 1%, at $10.66 in a 52-week range of $10.61 to $29.53. The 52-week low was set early Thursday.
EOG Resources Inc. (NYSE: EOG) traded up about 0.2% to $85.97. The 52-week range is $81.07 to $118.81.
Furthermore, the United States Natural Gas ETF (NYSEMKT: UNG) traded up about 3.1%, at $13.76 in a 52-week range of $12.28 to $24.30.
ALSO READ: The Worst Companies to Work For
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
