September Gas Remains Stuck in Low $2-teens on Bearish Fundamentals

摘要

The September gas futures contract teetered between daily gains and losses all last week,ending down a fraction of penny as it entered the weekend in the low $2-teens per million Btu.Record production and the legacy of mild early-summer weather continue to beat down attempts to rally higher as gas storage inventories are approaching levels that will assuage concerns of running short of gas this winter,despite demand growth for power generation and LNG exports.However,the contract is”finding modest support from warmer weather forecasts over the next 15 days although still not enough,”Gelber & Associates analyst Daniel Myers said.On a more bullish note,a lingering heat wave that resulted in record demand last week in Texas will continue to bake the nation's largest summer gas market in the coming week.And looking further ahead,recent planned maintenance that cut LNG feedstock needs is expected to clear in a few weeks.