FRX: Natural gas futures fall to 4-day low after U.S. EIA data
Forexpros – Natural gas futures erased gains on Thursday, dropping to a four-day low following a report from the U.S. Energy Information Administration showing that natural gas inventories rose more than they did in the same week a year earlier.
On the New York Mercantile Exchange, natural gas futures for August delivery traded at USD4.434 per million British thermal units during U.S. morning trade, tumbling 1.4%.
It earlier fell as much as 1.5% to trade at USD4.428 per million British thermal units, the lowest price since July 15.
The contract traded at USD4.590 prior to the release of the EIA data.
The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. in the week ended July 15 rose by 60 billion cubic feet, after increasing by 84 billion cubic feet in the preceding week.
Analysts had expected U.S. natural gas storage to rise by 67 billion cubic feet.
Stockpiles advanced by 55 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a buildup of 67 billion cubic feet.
Total U.S. natural gas storage stood at 2.671 trillion cubic feet. Stocks were 213 billion cubic feet less than last year at this time and 59 billion cubic feet below the five-year average of 2.730 trillion cubic feet for this time of year.
The report showed that in the East Region, stocks were 117 billion cubic feet below the five-year average, following net injections of 50 billion cubic feet.
Stocks in the Producing Region were 85 billion cubic feet above the five-year average of 910 billion cubic feet, after a net withdrawal of 6 billion cubic feet.
In the West Region, stocks were 27 billion cubic feet below the five-year average after a net addition of 16 billion cubic feet.
At 2.671 trillion cubic feet, total working gas was within the five-year historical range.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in September jumped 1.4% to trade at USD99.77 a barrel, while heating oil for August delivery added 0.55% to trade at USD3.133 per gallon during U.S. morning trade.
