In April I mentioned, “looking ahead, we need further clarification to see where pricing is headed.” Regarding natural gas, per attached, gas futures are nicely lower and I recommend signing 24 or 36 month fixed rate contracts. In today’s world there is significantly greater chance for upside pricing than downside. Regarding electricity, below is information […]
Mid-April 2025 Electricity and Natural Gas News
Natural gas futures have fallen since last contacting you on March 21st, not surprising as winter and large consumption months are behind us. Pricing is significantly higher than year ago. Looking forward, there are a few factors driving the markets. Tariff volatility is affecting the natural gas markets, to what extent long term remains to be seen. Regarding […]
Late March 2025 Electricity and Natural Gas News
Winter is over, at least in the energy commodity markets. Focus now switches from concerns over cold weather and ample supply to “where we stand” heading into summer 2025 and beyond. Record natural gas demand and surging electricity demand impacts pricing moving forward. Whether futures pricing rise or fall from today’s settlement prices (see attachment) is question of […]
October 2024 Electricity and Natural Gas Update
Natural gas futures pricing continues to be stable as we head into the winter heating season. Among the reasons for stable pricing is plenty of supply due to last winter being one of the warmest on record, resulting in high gas inventory at the conclusion of the winter heating season. Production remains robust in 2024 and […]
April 2024 Electricity and Natural Gas Update
This year’s natural gas narrative continues to be warm winter weather resulting in high inventory of gas in storage along with lower near term futures pricing. As mentioned in previous Update, lower pricing means production cuts and tighter supply which some say will lead to higher pricing down the road. I highly recommend looking now at renewal rates […]
Electricity and Natural Gas Update – March 2024
Our unusually mild winter continues, resulting in high inventory of natural gas along with falling near term monthly futures pricing. Forecasts are calling for warmer-than-normal temperatures through mid-March. Last week a large gas production company announced a 30% production cut in 2024 due to low prices and the market spiked 13%. Prices have settled down since […]
Electricity and Natural Gas Update – Thanksgiving 2023
Natural gas futures are lower since last contacting you a month ago with primary reasons being: current average seasonal temperatures, forecast for warmer than normal winter, robust production and high gas storage levels. At this time the only resistance to lower prices is strong Liquified Natural Gas exports (and long term commitments) which tempers how low […]
Electricity and Natural Gas Update – October 2023
This is a first in my nearly 22 years in sending this Update to all of you. Below is most recent Update sent on August 31st and today’s thoughts are same as below (please read again) with the exception of language highlighted in yellow. First, Middle East tensions need no commentary. Second, bulk of hurricane […]
Electricity and Natural Gas Update – March 2023
Natural gas futures remain at much lower levels than six months ago, warm winter weather is the main reason. Market is down. It is time to look at locking in long term natural gas rates and in some instances electricity, too. My advice remains the same as six weeks ago – lock in for the long term, […]
Electricity and Natural Gas Update – February 2023
Warmer than normal winter weather is responsible for significant drop in natural gas futures pricing. Upon review of attached you’ll note big drop in futures pricing, during the month of January we experienced the biggest monthly drop in 22 years. Natural gas production continues to be strong, longer term forecasts continue to call for warmer […]