Today’s storage report came in to be an injection of +69 bcf into the lower 48’s storage for the last week of October. Estimates were for an injection in the mid 60s, so this news was near the expectation, if not a bit higher. This is bonus gas! It’s quite remarkable how full storage is this year – we will end up with over 4 trillion cubic feet if the injections keep coming. This year will probably break records. The market reacted with some volatility in the NYMEX December front month contract, but ultimately settled down only five cents to $2.69 USD/mm.
Hurricane Rafael has moved past Cuba, and its expected trajectory path was updated today to pivot southwest towards Mexico (rather than Texas and Louisiana) where the storm will have weakened. While it seems like the Gulf Coast’s natural gas infrastructure will be safe, it is still possible for atmospheric conditions to cause the storm to regain intensity and still be a threat. Stay tuned.
