EIA Natural Gas Storage

EIA Natural Gas Storage

2,983 Bcf
↑ +61 Bcf on the week
↓ −15 vs last year (−0.5%)
↑ +185 vs 5yr average (+6.6%)

Analysis 

+61 Bcf for the week ending July 3, bringing total working gas to 2,983 Bcf. Storage is now just 15 Bcf (0.5%) below last year and 185 Bcf (6.6%) above the five year average. That is a bearish lean for the headline.

Two weeks ago the year over year gap was 49 Bcf. It’s 15 now. The five year surplus at 6.6% is the widest reading of the injection season, and with the EIA projecting production growth of 3.3% this year on the back of Permian associated gas, there is no obvious catalyst to tighten it.

Wednesday’s settle at $3.212 has nat gas sitting right at its 20 day moving average ($3.216) and above the 50 day ($3.094), with the 200 day still overhead at $3.487. RSI at 46.4 reads as a market that has cooled off without breaking down. A close above $3.441 opens the door toward the 200 day near $3.49, while a break below $3.031 targets the late May low near $2.86.