Gold Silver Reports — MCX Natural Gas Trading Zone 170-184 Support Seen at 168 — Natural Gas on MCX settled up 2.33% at 180.20 in the line of expectation rose for the fifth-straight session, boosted by government data that showed a smaller-than-expected increase in stockpiles last week. The US EIA said natural-gas stockpiles grew by 22bcf last week against the expectation of 26 bcf. Total stocks now stand at 3.339tcf, up 327bcf from a year ago and 405bcf above the five-year average, the government said.
A smaller-than-expected addition to storage likely indicates smaller supply or greater demand than expected, and prices moved higher immediately after the data’s release. While a heatwave on the East Coast has been driving strong demand for gas-fired power, also summer gas prices are often driven by how much people run their air conditioners and ramp up demand for power.
A weak cool front with heavy showers and thunderstorms extends from Texas and the South through the Ohio Valley and the Mid-Atlantic, although warmer temperatures will push in late today and Friday as highs warm into the upper 80s. It’s also hot over the West with upper 80s to 100s, although a fresh weather system pushing into the northern Rockies and Plains will push cooler temperatures over the central US this weekend.