Infinity Insights-Volume 10, Issue 23

AT-A-GLANCE SUMMARY

Spot NYMEX natural gas (July) continues to trade between 1.85 and 1.60.

SUMMARY OF THE LAST WEEK IN CHARTS

Spot month natural gas (July) has support at 1.60 with resistance at 185. Calendar year 2021 finds support at 2.60 then 2.50 with resistance at 2.75. Calendar year 2022 has support at 2.40 with resistance at 2.55.RoadmapNYMEX natural gas spot month (July) closed lower by $0.051at $1.731 compared to last Friday’s close.Calendar 2021NYMEX natural gas spot month (July) closed lower by $0.051at $1.731 compared to last Friday’s close.Calendar 2022Calendar 2022 was up by ≤$ 0.006 at $2.4685.

OUR TAKE ON THE MARKET

NYMEX Natural Gas

Spot NYMEX natural gas (July) continues to trade between 1.85 and 1.60. Open interest has declined. Supply destruction appears balanced by demand destruction. This trend looks to continue for the months remaining of 2020. The back of the curve continues to trade with a “return to normal” mentality.

WHOLESALE POWER

ERCOT

Forward curve prices are static with little impetus in either direction. Real Time pricing (LMP) is averaging in the teens. The heat of summer will influence and answer questions of adequate capacity sometime or other, this being the next potential hurdle.PJM

No weather, low natural gas prices, and COVID – 19 demand destruction keep prices just off their lows.

Stay Safe!