Pure Fuel Information: Futures Hover Beneath $2.922—Breakout Hinges on Storage Print…

Will the EIA Storage Report Present the Catalyst for a Breakout?

Merchants are carefully waiting for at present’s EIA storage report, with consensus estimates calling for a +27 Bcf injection for the week ended August 22—under the five-year common of +38 Bcf. An analogous shock final week helped costs rally, when the EIA reported a smaller-than-expected +13 Bcf construct. Inventories stay 5.eight% above the five-year common however are down three% year-over-year, preserving bullish sentiment afloat regardless of seasonally weak demand.

Document Manufacturing Continues to Weigh on Costs

Manufacturing stays a headwind. U.S. lower-48 dry fuel output hit 107.7 Bcf/d on Wednesday, up four.5% from a 12 months in the past. Lively fuel rigs are close to a two-year excessive, with 122 rigs in operation. EIA has additionally raised its output forecasts for each 2025 and 2026. Whereas LNG export flows rose to 15.5 Bcf/d (+11.7% week-over-week), general home demand is fading. Wednesday’s complete U.S. fuel demand fell 15.2% year-over-year to 72.four Bcf/d, as cooler climate is predicted to curb late-summer air con hundreds throughout a lot of the U.S.

Can Electrical energy Demand Supply Value Help?

Electrical energy utilization is without doubt one of the few brilliant spots. The Edison Electrical Institute reported U.S. energy output rose 7.7% year-over-year final week, a possible sign of firming base demand. Nevertheless, this assist might show momentary as climate forecasts level to below-normal temperatures from North Carolina to Northern California via early September—limiting gas-for-power consumption.

Quick-Time period Outlook: Bullish Bias if EIA Construct Disappoints