Welcome back. NYMEX gas futures came down over 30 cents for the rest of 2025’s contracts, overall offsetting Friday’s rally. This is a period where temperatures are warm and air conditioners are running, but at least in Ontario for now, temperatures are about normal. Peak cooling demand would be most likely to come in July and August. Meanwhile, production in the US has increased slightly (currently at about 106 Bcf/d), and LNG feed gas demand is still a bit down compared to the past few months (14.3 Bcf/d). Storage builds are steady too so far, just riding the 5-year average.

If something were to interrupt this state of affairs, it would probably either be July and August being exceptionally hot, or another major escalation in political tensions between the middle east and the US and its ripple effects in the international energy market. No updates on the latter so far, and early July is looking warm, but manageable.

Canadian businesses are closed tomorrow for Canada Day. See you Wednesday!