GAS PRICE: ABOVE $3.03
David Thompson, executive vice president of brokerage firm PowerHouse, said the increase was "most likely weather driven, as hotter waves [are] to be factored in."
The most recent eight- to 14-day weather outlook from the National Weather Service called for warmer-than-average weather for most of the US, falling in line with its most recent three-month outlook, which projected a warmer-than-average summer for the entire country.
Thompson called the "gap" between the high trade last Friday and the low trade Monday "technically significant," with the spread at 3.5 cents.
Friday's high trade of $2.94/MMBtu was a "critical support number," Thompson said, adding that the price would have to break above the $3.10/MMBtu mark to sustain a rally, as the market has "tested [that level] a few times" and come back down.
US dry gas production dropped to 71.4 Bcf/d Tuesday, down 500 MMcf/d from Monday, according to data from Platts Analytics' Bentek Energy. The overall decline reflects day-on-day dips in production in the Rockies, Northeast, Southeast and Southwest regions.
Dry gas production was expected to average 71.55 Bcf/d over the next 14 days, relatively in line with the 71.5 Bcf/d month-to-date average, according to Platts Analytics.
US demand was projected to jump in the eight- to 14-day window, coinciding with the higher temperatures forecast by the NWS, to average 66.3 Bcf/d in that period, up from 63.3 Bcf/d projected for Tuesday.
The NYMEX settlement price is considered preliminary and subject to change until a final settlement price is posted at 7 pm EDT (2300 GMT).
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IEA - For the third consecutive year, global energy investment declined, to USD 1.8 trillion (United States dollars) in 2017 – a fall of 2% in real terms. The power generation sector accounted for most of this decline, due to fewer additions of coal, hydro and nuclear power capacity, which more than offset increased investment in solar photovoltaics.
EIA - Crude oil production from the major US onshore regions is forecast to increase 143,000 b/d month-over-month in July from 7,327 to 7,470 thousand barrels/day , gas production to increase 1,066 million cubic feet/day from 69,466 to 70,532 million cubic feet/day .
U.S. FRB - Industrial production rose 0.6 percent in June after declining 0.5 percent in May. For the second quarter as a whole, industrial production advanced at an annual rate of 6.0 percent, its third consecutive quarterly increase. Manufacturing output moved up 0.8 percent in June.
U.S. DT - The sum total in May of all net foreign acquisitions of long-term securities, short-term U.S. securities, and banking flows was a net TIC inflow of $69.9 billion. Of this, net foreign private inflows were $58.8 billion, and net foreign official inflows were $11.1 billion.