Written by 3:43 pm Europe Economy

US Natural Gas Price Near 14-Year Peak, EU Hits New Record – Mish Talk

US Natural Gas Futures courtesy of Trading Economics

US Natural Gas Futures courtesy of Trading Economics

Trading Economics Natural Gas Comments 

US Natural Gas futures were trading around the $9.10/MMBtu mark, not far from a 14-year peak of $9.75/MMBtu hit in late July, buoyed by strong overseas and domestic demand. The temperatures in the US this summer remain high, with several heatwaves boosting demand for air conditioners. On top of that, Freeport LNG has recently agreed with regulators to partially restart operations in October at its shuttered export plant in Texas and said it began to pull in tiny amounts of natural gas from pipelines. The resumption of flows will withdraw more natural gas from storage and boost exports. Adding to the bullish outlook, demand from Europe remains strong as the critical Nord Stream 1 pipeline from Russia to Germany is currently running at 20% capacity. Meanwhile, the latest EIA data showed a smaller-than-expected injection into inventories for the week ending August 12.

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