Gas Storage Rises on Both Sides of Atlantic

摘要

US storage fundamentals continue to muddy the water as shoulder-season injections begin ramping up. On the one hand, with a warmish weather outlook ahead for the US, data reports for the next few weeks could prove bearish compared to the five-year average. On the other, the market will be hard-pressed to match last year's surge, setting up very mixed price signals as the year-on-year surplus falls and the long-term surplus grows. Last week, strengthening storage fundamentals helped the US October gas contract snap a five-session losing streak that had sent the October contract down almost 10% with little time to recover before the Sep. 26 expiration. But the technical bounce was also held in check by a storage build that was much more seasonal than those reported in the past few weeks.