Growing Business Together
Market- Natural gas futures traded higher this week as cold weather across the country increased demand and prices. Below normal temps next week will keep prices higher. Prices are moving higher this morning after the storage report showing a large withdrawal. The once over-supply of gas in storage is coming back in range as seen on the graph to the right; although we still have more gas in storage than compared to the five-year average. The US gas traditional rig count was a decrease this week of 5 and horizontal drilling increased 7 rigs. Gas production levels due mostly to shale drilling are still strong. Natural gas is very attractive to fix at this time. The Crude oil price for February is higher this week at $95.11 per barrel. Heating oil is lower at $3.02 per gal. Unleaded gasoline futures are lower this week at $2.77 and gasoline at the pump is around $3.39…in Indiana. The natural gas storage report this week was a withdrawal of 148BCF; storage is 147BCF lower than last year but 316 BCF higher than the 5 year average.