Natural Gas Inventory Increases Slow Down

Energy

Published: July 10, 2014 11:10 am

Last Updated: April 28, 2020 2:19 am

The U.S. Energy Information Administration (EIA) reported Thursday morning that U.S. natural gas stocks increased by 93 billion cubic feet for the week ending July 4. That compared with an expected increase of around 90 to 94 billion cubic feet anticipated by analysts. The total addition ends an eight-week run of triple-digit increases to the country’s natural gas stockpile.

Natural gas futures prices were trading down slightly in advance of the EIA’s report, at around $4.18 per million BTUs, and slipped further to $4.14 immediately following the report.

For the same week a year ago, stockpiles rose by 72 billion cubic feet, and the five-year average for the week is an increase of around 70 billion cubic feet. Stockpiles are about 24.4% below their levels of a year ago and about 27.6% below the five-year average.

Next week’s weather forecast calls for a warming trend over the southern and western United States. Somewhat cooler temperatures are expected in the Midwest and the Northeast. Demand for cooling is expected to be moderate to high this week.

The EIA reported that U.S. working stocks of natural gas totaled 2.02 trillion cubic feet, about 769 billion cubic feet below the five-year average of 2.79 trillion cubic feet. Working gas in storage totaled 2.7 trillion cubic feet for the same period a year ago. Natural gas inventories are rising again, but remain well below the bottom of the five-year range.

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, was down about 1.2% to $102.28, in a 52-week range of $84.79 to $104.61.

Chesapeake Energy Corp. (NYSE: CHK) also was down, about 1.8% at $28.78, in a 52-week range of $19.93 to $29.92.

EOG Resources Inc. (NYSE: EOG) was down about 1.47% to $114.85. The 52-week range is $70.78 to $118.89.

The United States Natural Gas ETF (NYSEMKT: UNG) was down about 0.3%, at $22.92 in a 52-week range of $16.59 to $27.89.

ALSO READ: Gasoline and Crude Oil Prices Falling as Refiners Increase Output

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

Have questions about retirement or personal finance? Email us at [email protected]!

By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.

By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.