Last week, natural-gas inventories are expected to have experienced a slight decline as a result of increased demand caused by a cold weather spell in certain parts of the United States. However, with forecasts predicting a milder start to December, prices are anticipated to decrease.
According to a survey conducted by the Wall Street Journal, 11 analysts, brokers, and traders predict that the Energy Information Administration will report a 13 billion cubic feet drop in underground natural-gas storage for the week ending on November 24. All 11 of the participants forecast a drawdown, with estimates varying between a 2 billion cubic feet reduction and one of 23 billion cubic feet.
The report is scheduled to be released on Thursday at 10:30 a.m. EST.
This projected drawdown follows a reduction of 7 billion cubic feet the previous week. As of November 17, natural-gas inventories in the lower 48 states were recorded at 3,826 billion cubic feet. These levels were 7% higher compared to both the same period last year and the five-year average for that specific week.
