Pricewatch | 04 Nov 2022 | Gas Matters Today

Natural gas prices on both sides of the Atlantic recovered on Thursday, with US gas benchmark Henry Hub tumbling on the back of another week of bumper gas injections into storage sites.

The front-month Henry Hub contract dipped by 4.7% on Thursday to close at USD 5.98/MMBtu. The fall was pinned on larger-than-expected injections into gas storage for the week ending 28 October, with 107 Bcf of gas added to storage.

Across the pond, the December-dated TTF and NBP contracts dipped slightly, with the Dutch marker down 1.5% to settle at the equivalent of USD 35.88/MMBtu. The UK marker was down 0.5% to close at the equivalent of USD 34.82/MMBtu.

The loss came amid the EU’s gas storage levels increasing further – standing at 95% full on 2 November, according to GIE data – despite the start of the winter and temperatures starting to fall. Strong wind power production in recent days has also helped lower gas demand.

Asian LNG marker JKM also dipped, closing 4.4% lower at USD 27.82/MMBtu.

As for crude, Brent and WTI fell back into the red amid fresh recession fears. Brent closed 1.5% lower at USD 94.67/barrel, with WTI down 2% at USD 88.17/barrel.

Front-month futures and indexes at last close with day-on-day changes (click to enlarge):

Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights.