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Message: bnn

Re: bnn

in response to by
posted on Feb 19, 2009 08:18AM


johnyboy. I read and hear this, that NG(and oil)will go up. Today weekly inventory was out and showed decline, 24bcf. We need the monthly also, but ok I post some:

Downward price pressure on futures prices also appears related to continued improvements in domestic production and declines in the crude oil price, which decreased this week to trade at less than $40 per barrel. At the end of trading yesterday, the 12-month strip, which is the average for natural gas futures contracts over the next year, was priced at $5.33 per MMBtu, a decrease of about $0.07, or 1.3 percent, since last Wednesday. Futures prices for contract months through the next year exhibit an upward trend, so that by next March the contract price is $6.557 per MMBtu, which is $2.03 higher than the price of the near-month contract. This difference likely reflects market sentiment that the economy will improve over time, as well as an expectation that natural gas producers will reduce output in response to the lower prices in the interim.

Rigcounts is about 900 now, from 1600.

Natural Gas

After declining at the end of 2008, natural gas prices stabilize through 2011, with Henry Hub spot prices just above $6.50 per million British thermal units (Btu). After 2011, Henry Hub spot prices (in 2007 dollars) begin to increase, reaching $9.25 per million Btu in 2030

It's from EIA.



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