🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Nat gas settles higher as Harvey disrupts south Texas production

Published 08/28/2017, 05:46 PM
© Reuters.  Nat gas settles higher as Harvey disrupts south Texas production
SCHN
-
NG
-
UNG
-
FCG
-
GAZZF
-
DCNG
-
BOIL
-
KOLD
-
UNL
-
DGAZF
-
UGAZF
-
GASX
-
GASL
-
  • September natural gas futures settled 1.1% higher at $2.925/MMBtu, as damage from Harvey is seen disrupting gas production in the Eagle Ford shale and the Gulf of Mexico.
  • The reduced output has pushed domestic output back below 71B cf/day, a bullish sign for the market, according to Robbie Fraser, commodity analyst at Schneider Electric (PA:SCHN), adding that the storm is capable of further pipeline disruptions that could trigger short-term price swings.
  • But the storm also has bearish implications for the market if demand for natural gas is weighed further, and power outages and closing of businesses could offset supply risks.
  • ~26% of natural gas production in the Gulf of Mexico yesterday was offline due to Harvey - "more than anticipated, and surprising,” says analyst Phil Flynn of Price Futures Group; this afternoon, 18% of natural gas production in the region, or 583.4M cf/day, is shut in.
  • ETFs: UNG, UGAZ, DGAZ, BOIL, GASL, FCG, GAZ, KOLD, UNL, GASX, DCNG, GAZB
  • Now read: Natural Gas Winter Outlook: Preliminary Results

Original article

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.