Weekly Market Update- 9/4/2023

Electricity Markets

Forward markets in the Northeast increased slightly over the past week. Texas forward markets saw a drop, but still remain volatile as the heat sticks around across the South. We could see volatility in forward markets heading into the fall as the natural gas storage surplus erodes.


Spot pricing was quiet over the past week, but could be more volatile over the next week as heat moves into the Northeast.

Natural Gas Markets

Forward pricing years came down over the last month, closed for September at a good value. Slight run up into winter. Decreasing storage could drive pricing back up.


Futures as of 8/31/2023 versus previous week:

Oct-23 $2.838 +$0.296
Nov-23 $3.222 +$0.222
Dec-23 $3.662 +$0.172
Jan-24 $3.875 +$0.137
Feb-24 $3.789 +$0.121
Mar-24 $3.462 +$0.085

Natural Gas Inventory 

Working gas in storage was 3,115 BCF as of Friday, August 25th, according to EIA estimates. This represents a net increase of 32 Bcf from the previous week.


The Baker Hughes exploration increased by 3 rigs, for a total of 114 this week.

Weather Update

Temperatures will be above average across the Southeast, Southern Plains and West Coast, and below average across the Northeast


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


News : Hurricane Idalia to hit Florida Gulf Coast, likely cutting energy demand, prices- Hurricane Idalia is forecast to hit the Florida Gulf Coast early Aug. 30 as a major hurricane and emerge into the Atlantic along the coast of the Carolinas Aug. 31, probably cutting power to hundreds of thousands, weakening power and natural gas demand and prices.


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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