'Bullish Balance' Frames U.S. Gas Market As Injection Season Begins

摘要

After an exceptionally mild winter nearly derailed the U.S. natural gas market earlier this year, the supply and demand balance ended the 2016-17 withdrawal season in a much more bullish position. In fact, at the start of the 2016 injection season last spring, the U.S. natural gas market was exiting an extremely bearish winter, the storage inventory was nearly 500 billion cubic feet higher, and Henry Hub futures prices were trading more than $1 an MMBtu lower. The overarching sentiment was that prices would have to remain low to balance the market.