There is some angst about natural gas everywhere at the moment. Germany is floating the idea of the resumption of Russian natural gas flows as part of a peace settlement.
In the US, a cold January has led to a series of very large natural gas inventory drawdowns. Today’s announcement was a 321 BCF draw compared to 314 BCF expected at 223 BCF last week.
It’s the fourth-largest draw ever.
Despite that, the March Henry Hub contract has tumbled this week as the market looks forward to a warmer February. It last traded at $3.14 after trading above $4 last week.