Natural Gas Report - March 25
Posted: Fri Apr 01, 2011 12:37 pm
Working gas in storage was 1,624 Bcf as of Friday, March 25, 2011, according to EIA estimates. This represents a net increase of 12 Bcf from the previous week. Stocks were 12 Bcf less than last year at this time and 68 Bcf above the 5-year average of 1,556 Bcf.
I remain quite bearish on natural gas (for this year). I think we will see NG dip below $3.75 within 90 days. Raymond James is forecasting $3.25/mcf for the 3rd quarter but I'm not that bearish. Regardless, oil is the place to stay for now.
Higher coal prices could help the natural gas price. NG is now more closely tied to coal than oil as power generation becomes a bigger source of demand. The fundamentals for coal look very strong.
When we get the new website set up tomorrow, we are going to provide a link to Joe Dancy's "LSGI Advisors Report". Joe is very good and he follows several coal companies closely.
I remain quite bearish on natural gas (for this year). I think we will see NG dip below $3.75 within 90 days. Raymond James is forecasting $3.25/mcf for the 3rd quarter but I'm not that bearish. Regardless, oil is the place to stay for now.
Higher coal prices could help the natural gas price. NG is now more closely tied to coal than oil as power generation becomes a bigger source of demand. The fundamentals for coal look very strong.
When we get the new website set up tomorrow, we are going to provide a link to Joe Dancy's "LSGI Advisors Report". Joe is very good and he follows several coal companies closely.