Natural Gas Futures Test Support as Late-September Demand Outlook Weakens
Key Takeaways
- •Early natural gas futures trading was lower on Wednesday, September 9.
- •Expectations for fading hot weather and weaker late-September demand weighed on the front-month contract.
- •LNG feedgas flows remained substantially above their recent pace, supporting gas demand.
- •Natural gas storage remained below the comparable year-ago level, limiting downside pressure.
- •Natural Gas Intelligence published the report, which was written by energy journalist Andrew Baker.
Natural gas futures edged lower in early trading on Wednesday, September 9, as expectations for weaker demand in late September outweighed strong near-term cooling demand and LNG export needs.
The prompt-month contract was pressured by the prospect of sharply declining demand as hot weather fades and the market approaches the shoulder season. LNG feedgas flows, however, remained well above their recent pace, providing a countervailing source of demand. A year-over-year deficit in natural gas storage also offered support.
The report was published by Natural Gas Intelligence. It was written by Andrew Baker, who joined NGI in 2018 to support coverage of Mexico’s newly liberalized oil and gas sector. His role later expanded to include the rest of North America.
Before joining NGI, Baker covered Latin America’s hydrocarbon and electric power industries for Business News Americas in Santiago, Chile, from 2014 to 2018. He speaks fluent Spanish and holds a B.A. in journalism and mass communications from the University of Minnesota.
