Just as Covid-19 has left us wondering what the future will bring, so has the natural gas market.
Last week, natural gas prices fell to a 25 year low, closing at $1.482/MMBtu.
Yesterday, June 29, 2020, natural gas prices closed the prompt month at $1.74/MMBtu. The National Oceanic and Atmospheric Administration’s (NOAA) weather prediction of above-normal temperatures for the northeast and midwest over the next 6 to 14 days have helped push prices upward due to the expected natural gas demand that will likely be needed in order to power electric generation for air conditioning. Also, LNG demand was up 20% compared to the week prior.
Currently, the natural gas prompt month is trading at $1.752/MMBtu.
We will continue to monitor the volatility in the energy market.