US Natural Gas inventories expected to rise 76B cubic feet

Summary

US Natural Gas inventories are projected to increase by 76 billion cubic feet last week, according to a poll ahead of Thursday's EIA report. This rise is expected as the EIA forecasts that US working-gas inventories will conclude October above the recent five-year average, indicating a comfortable supply for the upcoming winter. The market is currently in the last weeks of the annual storage-injection season, a period when gas supplies typically accumulate in preparation for the winter heating demand.

Analysis

US Natural Gas: US natural gas is the domestic energy commodity tracked through production, consumption, exports, and underground storage. The news concerns a poll forecasting a sizable weekly storage injection ahead of the winter heating season, while recent EIA outlooks indicate inventories are expected to enter winter above the recent five-year average. Seasonal trend: The market is in the final weeks of the annual storage-injection season, when inventories typically build before winter heating demand begins. Storage outlook: The EIA expects US working-gas inventories to finish October above the recent five-year average, signaling relatively comfortable winter supply conditions.

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