US: EIA Natural Gas Report

Thu Aug 17 09:30:00 CDT 2017

Actual Previous Revised
Weekly Change 53bcf 28bcf 19bcf

Natural gas in storage rose 53 billion cubic feet in the August 11 week to 3,082 bcf, following revisions to prior data that among other changes to recent weeks reduced the previous week's level by 9 billion cubic feet to 3,029 bcf. The twentieth consecutive weekly build since the traditional end of the heating season was roughly in line with forecasts calling for a before-adjustment increase of around 46 bcf. Natural gas stocks were 7.6 percent below their level last year, when inventories were bloated by an exceptionally mild winter that dampened natural gas consumption during the heating season. But gas stocks were 1.8 percent above the 5-year average for this period of the year and remain in the upper half of the 5-year historical range.

The Energy Information Administration (EIA) provides weekly information on natural gas stocks in underground storage for the U.S. and five regions of the country. The level of inventories helps determine prices for natural gas products.

Natural gas product prices are determined by supply and demand - just like any other good and service. During periods of strong economic growth, one would expect demand to be robust. If inventories are low, this may lead to increases in natural gas prices. If inventories are high and rising in a period of strong demand, prices may not need to increase at all, or as much. During a period of sluggish economic activity, demand for natural gas may not be as strong. If inventories are rising, this may push down natural gas prices.