Energy Market Update 12-20-2021

Electricity Markets

All ISOs saw a slight tick upward however ISO-NE saw a larger jump up in forward electric rates this week.

Mild temperatures lead to a quiet week in daily pricing markets.

Natural Gas Markets

2022 saw very little movement as NYMEX rates remained steady with the lack of volatility in weather conditions this week.

Futures as of 12/15/2021 versus previous week:
Jan-22 $3.802 -$0.013
Feb-22 $3.761 -$0.013
Mar-22 $3.668 +$0.010
Apr-22 $3.602 +$0.027
May-22 $3.615 +$0.031
Jun-22 $3.660 +$0.032
Natural Gas Inventory

As of Friday, December 10, 2021 working gas in storage was 3,417 Bcf. According to EIA estimates this represents a net decrease of 88 Bcf from the previous week.

The Baker Hughes exploration gas count is down one rig from the previous week for a total of 104 rigs. This is 25 more rigs than the 79 in operation at this time one year ago.


Weather Update

Warmer than normal temperatures are expected in the middle and Southwest CON US with the rest of the country seeing normal or below normal temperatures.

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

Slow start to US heating season keeps downward pressure on NYMEX Henry Hub

US residential-commercial heating demand is trending at its lowest in six years in December as mild weather across the Lower 48 states continues to put broad downward pressure on the gas market. If you would like to receive the Energy Market Update to your inbox weekly, please click here to submit your name and email address. 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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