Electricity Markets
All forward markets increased over the past week, which was largely driven by the increase in the underlying NYMEX. NY markets in general have experienced a gradual increase since march, largely because of built in premiums as a result of capacity uncertainty.
Temperatures dropped significantly over the past week, returning to more fall like weather. No large drops or swings in spot pricing over the last weekSummer like temperatures to start October caused a slight run up in spot pricing to start the month. Spot pricing should see relief as fall temperatures return to the Northeast.
Natural Gas Markets
The remainder of 2023 remains at a good value. 2024, 2025 and 2026 continue to move towards consolidating, and increased over the past week.
Futures as of 10/12/2023 versus previous week:
| Current | ||
| Nov-23 | $3.328 | +$0.314 |
| Dec-23 | $3.608 | +$0.242 |
| Jan-24 | $3.839 | +$0.227 |
| Feb-24 | $3.767 | +$0.226 |
| Mar-24 | $3.475 | +$0.212 |
| Apr-24 | $3.249 | +$0.191 |
Natural Gas Inventory
Working gas in storage was 3,529 BCF as of Friday, October 6th, according to EIA estimates. This represents a net increase of 84 Bcf from the previous week.
The Baker Hughes exploration decreased by 1 rig, for a total of 117 this week.
Weather Update
Temperatures will be below average across the East Coast, and above average across the Midwest and West Coast
Hurricane Watch: Click here to view the National Hurricane Center site.
Israel Conflict Poses Increased Risk to Oil Markets, IEA Warns- Energy watchdog raises demand forecast for 2023 to a record as OPEC holds back supply
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