Natural Gas in Underground StorageThe weekly EIA Natural Gas Storage Report advised that there was a withdrawal of 99Bcf (billion cubic feet) from Underground Storage for the week ending January 26th, 2018.
This is 9Bcf below the median forecast of a 108Bcf withdrawal, the average prediction of sector analysts and traders in the Dow Jones Newswires weekly survey. The withdrawal one year ago was 92Bcf and the 5-year average withdrawal is 160Bcf. Storage is 526Bcf below last year for the same week and 425Bcf below the 5-year average. Working gas in storage stands at 2,197Bcf. The February Natural Gas contract closed at $3.63.
Natural Gas PricingAs of 9:19AM CST, March 2018, (the new prompt month) Natural Gas was trading at $2.89, - $0.59 from one week ago and the 1-Year Spread average was $2.93, -$0.09 from one week ago.
Crude Oil PricingAs of 9:27AM CST,March, 2018, (the new prompt month) Light, Sweet Crude on the NYMEX was at $65.40, +$1.59 from one week ago.
Crude Oil InventoryUS crude inventories increased by 6.8 million barrels to 418.4 million barrels for the week ended Jan. 26th, according to data released yesterday morning by the US Department of Energy, (the first increase in 11 weeks). Traders in the Reuters poll projected an increase of 2 million barrels.
U.S. Rotary RigsU.S. Rotary Rigs drilling for natural gas were -1 at 188 for the week of January 26th. The number of rigs currently drilling for Natural Gas was 43 higher than last year’s level of 145. US Rigs drilling for oil were +12 at 759. There are 193 more rigs targeting oil than last year. Canadian rigs were +13 at 338 for the week. Rigs targeting oil remain at 80% of all drilling activity.
GeopoliticalMyth: renewable energy gets subsidies whereas fossil fuels and nuclear energy don’t.
Short answer: Fossil fuels and nuclear energy have gotten subsidies for decades. Actually, fossil fuels have received government subsidies for 100 or so years. These days, fossil fuel subsidies reportedly total approximately $5 trillion globally each year. Despite tremendous health costs, climate costs, and countless premature deaths caused by pollution, these super rich and overly mature industries receive subsidies that serve no genuinely useful purpose for society.