Energy Market Update 7-12-2021

Electricity Markets

Forward electric markets saw some relief from highs experienced last week but are still elevated compared to historic levels.



An extended warm spell caused a lot of volatility in the daily electric markets.


Natural Gas Markets

2021 NYMEX rates are now well above normal ranges and are nearing highs seen during the polar vortex.


  Futures as of 7/7/2021 versus previous week:
Aug-21 $3.596 -$0.054
Sep-21 $3.574 -$0.050
Oct-21 $3.576 -$0.043
Nov-21 $3.633 -$0.025
Dec-21 $3.730 -$0.013
Jan-22 $3.794 -$0.013
Natural Gas Inventory

As of Friday, July 2, 2021 working gas in storage was 2,574 Bcf. According to EIA estimates this represents a net increase of 16 Bcf from the previous week.


The Baker Hughes exploration gas count is up 1 from the previous week for a total of 101 rigs. This is 25 more rigs than the 76 in operation at this time one year ago.


Weather Update

Increased heat will be seen for much of the northern half of the CONUS with the south seeing much cooler temperatures this week.


National Weather Service Updates (NOAA)

    Hurricane Watch: Click here to view the National Hurricane Center site. Equatorial Pacific Outlook: Click here to view La Nina and El Nino status.

Energy News

Record power burn, blackouts, $4 Henry Hub gas risk looms large in July forecast Extreme heat across much of the continental US next month could put a strain reserve-generating capacity, potentially driving natural gas-fired power burns to record highs, despite already elevated gas prices. Disclaimer: This information is provided for the use of our customers and potential customers. Power Management Company assumes no responsibility or liability for the accuracy or completeness of pricing or information in this document. Historical data was obtained from sources that we believe to be reliable, but we do not guarantee its accuracy or completeness. It is not intended to provide advice or recommendation. Views are subject to change without notice.

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