Weekly Market update 12/12/2022

Electricity Markets

Volatility in the market continues. Electric markets returned to a more optimal position this week, aided by good storage and warmer weather.

Markets have stabilized in response to warm temperatures. Energy Prices continue to stay low.

Natural Gas Markets

Outward years have flattened and consolidated, beginning to see convergence. Winter rates look more ideal in comparison to recent months.


Futures as of 12/8/2022 versus previous week:

Jan-23 $5.935 -$0.995
Feb-23 $5.788 -$1.030
Mar-23 $5.302 -$0.876
Apr-23 $4.765 -$0.482
May-23 $4.732 -$0.449
Jun-23 $4.816 -$0.440

Natural Gas Inventory 

Working gas in storage was 3,462 BCF as of Friday, December 2nd. According to EIA estimates this represents a net decrease of 21 Bcf from the previous week.


The Baker Hughes exploration gas count remained unchanged for a total of 155 this week. There are 102 additional rigs in operation than at this time one year ago.

Weather Update

Temperatures will be below average across the west, but near normal across the Midwest and the east coast.


Hurricane Watch:  Click here to view the National Hurricane Center site.

Equatorial Pacific Outlook: Click here to view La Nina and El Nino status.


News : US EIA expects higher on-peak wholesale power prices across US this winter- Every US region is likely to see higher peak wholesale electricity prices this winter, the US Energy Information Administration said Dec. 6,highlighting expectations that prices in the Mid-Atlantic and Central regions could surpass winter 2021-22 levels by more than 60%.  

Analysis : Fading US demand outlook leads NYMEX January gas to nine-month low- The NYMEX Henry Hub January futures contract fell below $6/MMBtu on Dec. 5, to trade at its lowest since March as the market takes stock of another restart delay at the Freeport LNG terminal and shifting weather forecasts pointing to a milder start to December than previously anticipated.


  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.

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