US natural gas inventories decreased by 1 Bcf for the week ending November 27, compared with the five-year (2015–19) average net withdrawal of 41 Bcf. Working gas stocks total 3,939 Bcf, which is 290 Bcf higher than the five-year average and 343 Bcf higher than last year at this time.
Analysts’ expectations had been for a withdrawal of 16 Bcf. The NYMEX natural gas futures market had already been retreating in price action before the bearish storage report was released. Jan21 futures opened at $2.76 and had traded down to $2.528 before the release of the report.
The entire Cal21 strip is down over 20 cents on the day and the Cal22 strip has shed 10 cents. The Cal22 strip is actually a few pennies more expensive than the Cal21 strip that had held a 15 cent premium before the Thanksgiving break.
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