【crescent bank auto loan login】Natural Gas Price Fundamental Weekly Forecast – Heating Season Begins with Hedge Funds Holding Long Positions
Natural gas futures closed higher last week,crescent bank auto loan login helped by relatively strong liquefied natural gas (LNG) demand, limited production and a smaller than expected government storage number. Also helping to keep a lid on prices were mixed weather forecasts, but conditions could change if you look beyond the 11-15 day outlook.
Last week,
December natural gas
settled at $3.354, up $0.159 or +4.98%.
The November futures contract expired early in the week with a surge into a multi-year high. According to Natural Gas Intelligence (NGI), last week’s early price spike had little to do with supply or demand. Instead, analysts said options trading and massive speculative positioning ahead of the November Nymex contract’s upcoming expiration factored into last week’s price behavior.
The hedge funds remain massively long as the December futures contract rolled into front-month position in the futures market. According to the latest Commodity Futures Trading Commission data, the combined Intercontinental Exchange/Nymex Henry Hub position is net long more than 500,000 contracts.
Hurricane Zeta had little influence on futures prices although it did have a limited bullish effect on cash prices. The new tropical depression developing in the Caribbean/Southwest Atlantic is not in a position to influence prices. Hurricane season in the U.S. ends at the end of the month.
To those who chose to trade off analysts who believe the market rallied on Friday due to the new tropical depression, I suggest you look at a map. Furthermore, I think you need to spend some time learning the various influences on cash and futures prices.
US Energy Information Administration Weekly Inventories Report
The
EIA
reported Thursday that domestic supplies of natural gas rose by 29 billion cubic feet (Bcf) for the week-ended October 23. On average, supplies were expected to climb by 37 Bcf for the week, according to analysts polled by S&P Global Platts.
Total stocks now stand at 3.955 trillion cubic feet (Tcf), up 285 Bcf from a year ago, and 289 Bcf above the five-year average, the government said.
Short-Term Weather Outlook
According to
NatGasWeather
for October 30 to November 5, “A fresh cold shot will push into the Northeast today with highs of 30s to 50s and chilly lows of 10-30s. A quick break will follow Sunday before another cold shot arrives Monday – Tuesday with similar conditions.
For the rest of the U.S. temperatures will warm into the 50s to 80s as high pressure gains ground, warmest over the southern US. The Northeast will warm into the 50s and 60s as next week progresses, while colder air pushes into the Northwest late next week. Overall, national demand will be moderate-high through Tuesday, then low.”
Story continues
Weekly Forecast
We remain bullish due to rising demand for U.S. LNG exports, expectations of lower production and the anticipation of colder temperatures.
LNG demand could continue to rise this week and over the near-term if fuel heating needs in Asia and Europe continue to soak up supply.
We could see some choppiness at times, but in our opinion, that will be the hedge funds trying to shake out the weaker longs. We believe that money managers will support the market on dips.
The bigger players are already long. They started to buy in the summer when nobody wanted to own natural gas. Their major purchases were in the deferred contracts, while the public or small traders were still trading the excessively volatile front-month futures contract.
If the market breaks out to the upside then the public will chase it higher, giving the funds a huge advantage. That’s what they call smart money.
For a look at all of today’s economic events, check out our
economic calendar
.
This
article
was originally posted on FX Empire
More From FXEMPIRE:
The Crypto Daily – Movers and Shakers – October 31st, 2020
Oil Price Fundamental Weekly Forecast – ‘Bears in Control’ – Tell that to the Saudi Oil Minister
Natural Gas Price Prediction – Prices Rise as a New Storm Enters the Caribbean
E-mini Dow Jones Industrial Average (YM) Futures Technical Analysis – Straddling Key Fibonacci Level at 26162
Natural Gas Price Fundamental Weekly Forecast – Heating Season Begins with Hedge Funds Holding Long Positions
European Equities: A Month in Review – October 2020
View comments
下一篇:Coronavirus strands merchant ship crews at sea for months
相关文章:
- Mike Bloomberg thinks a gun-control pitch works … in Texas
- Apple on medical tech hiring spree, a possible hint of iWatch plans
- Marvel’s Luke Cage Gets Premiere Date
- Gap Inc (GPS) Q4 2018 Earnings Conference Call Transcript
- Coronavirus strands merchant ship crews at sea for months
- South Korea's Hyundai target 2019 global sales of 4.7 million vehicles
- Evaluating New Times Energy Corporation Limited’s (HKG:166) Investments In Its Business
- Is It Smart To Buy Shoe Carnival, Inc. (NASDAQ:SCVL) Before It Goes Ex-Dividend?
- Pacific Empire Announces Engagement of OreQuest Consultants as Technical Advisors and the Sale of Shares of Nova Royalty Corp. for Proceeds of Approximately C$644,795
- N.K Industries Limited (NSE:NKIND) Insiders Increased Their Holdings
相关推荐:
- Cheniere seeks U.S. permission to put Oklahoma Midship natgas pipe in service
- Dover Corporation (NYSE:DOV): What’s The Analyst Consensus Outlook?
- Does Xanadu Mines Limited (ASX:XAM) Have A Particularly Volatile Share Price?
- Is Wasatch Emerging India Fund (WAINX) a Strong Mutual Fund Pick Right Now?
- Loop Industries Reports Fourth Quarter Consolidated Financial Results of Fiscal 2020 and Provides Updates on Business Developments
- 'Farewell to Facebook', bids Germany's retiring Merkel
- Ely Gold Royalties Closes First Tranche of Private Placement
- Dominion Energy completes buyout of South Carolina utility
- Is It Too Late To Consider Buying KBC Group NV (EBR:KBC)?
- How Much Are Goodwin plc (LON:GDWN) Insiders Taking Off The Table?
- Brazil manufacturing PMI rises to 38.3 in May from record low 36.0 in April - IHS Markit
- BRIEF-My Heart Bodibra Group Ltd Sees Increase In Loss For Nine Months
- Antibodies, Protein-based Vaccines, Anti-virals, and Cell-based Therapies to Lead the Development of COVID-19 Treatment Pipeline- Exclusive Report by Meticulous Research®
- This Alibaba Stock Correction Offers an Opportunity You Can’t Refuse
- ReSPECT Glioblastoma Clinical Trial Data to be Presented at 2020 Society for Neuro-Oncology Annual Meeting
- Donald Trump vows 'major' steps to aid US economy amid coronavirus rise
- Role of Wireless ICT in Healthcare Markets, 2020 Report - Focus on WICT and M2M Communications, Self-powered Wireless Sensors, Underlying Technologies, & WBAN/WMBAN Features and Standardization
- Top Analyst Reports for Apple, Verizon & PayPal
- Apollo Endosurgery, Inc. Reports First Quarter 2020 Results
- What Is Parker-Hannifin's (NYSE:PH) P/E Ratio After Its Share Price Tanked?