The NYMEX experienced a sustained rally to as high as $2.97 USD/MMBtu in the morning as traders liquidated their options before settlement. Following the release of EIA storage volumes, trading momentum reversed with the market falling slightly to $2.92 USD/MMBtu, up $0.06USD/MMBtu or 2% from yesterday’s settlement.

EIA’s injection volume of 75 Bcf was in line with most major surveys, putting L48 storage at 3,508 bcf. This volume is 203 bcf higher than the 5-year average and 22 bcf higher than last year’s volume for this time of year. Recent Ontario weather forecasts show the potential for demand emergence in October, with temperatures expected to drop to 12°C-15°C by the second week of the month. Alberta is expected to be slightly cooler between 10°C-12°C during that time. (PB)