After a strong rally yesterday, naturals gas prices fell in today's trading session, with the June contract off as much as nearly 5 cents before moving off its lows and closing down 1.5 cents on the day.
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Today's EIA release showed that we injected 85 bcf last week, dead on with what market expectations were, although that did confirm a slight loosening of the supply/demand balance compared to last week's report.
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When looking at the same week in prior years, the loose balances are even more evident.
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On the weather front, our forecast today did call for slightly more demand over the next couple of weeks compared to yesterday's forecast.
The demand picture is a tricky mix at this time of year, however, with the gains next week coming in the form of higher HDDs in the Northeast, where cool anomalies are seen.
Out in week two, the demand gains come via additional CDDs, with warmth spreading into the eastern U.S, enhancing cooling demand in the Southeast.
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