On Thursday, the U.S. Energy Information Administration (EIA) reported that working gas in storage as of Friday, December 4, 2020 was 3,848 BCF. This was a decrease of 91 BCF from the previous week and was a higher withdrawal than the market was expecting. Storage levels are 309 BCF (8.7%) higher than a year ago, and 260 BCF (7.2%) higher than the 5 year average for this date.
December is off to a cooler than normal start in our region. For the first 10 days of the month, Heating Degree Days as measured at Reagan Washington National Airport have been approximately 7% higher than the 10 year average. However, the 8-14 day outlook from the National Weather Service predicts a return to warmer than normal temperatures for the East Coast.
Prices were up this week for gas and power. At the end of the week, the NYMEX natural gas 12-month strip was up 4.1%, while the PJM West Hub 12-month forward curve was up 0.7%.