Daily Market Report – August 10, 2022

Today’s 00z showed a bearish move in weather with both the GFS Ensemble and Euro Ensemble losing CDDs in the first 10 days of the forecast window. Both models lost between 6-7 CDDs. With the latest change, we now have national temps hovering around the 10Y normal until mid-month.

When looking at different regions of the country the story is vastly different. We currently have hot weather continuing from the Northwest into the Plains, while heavy rain and flash flooding threat from the Ohio Valley into the Central Appalachians and along the Gulf Coast.

Today’s Fundamentals

Daily US natural gas production is estimated to be  96.7 Bcf/d this morning. Today’s estimated production is -1.02 Bcf/d to yesterday, and -1.66 Bcf/d to the 7D average.

Natural gas consumption is modelled to be 79.9 Bcf today,  -4.9 Bcf/d to yesterday, and -3.36 Bcf/d to the 7D average. US power burns are expected to be 42.7 Bcf today, and US ResComm usage is expected to be 8.4 Bcf.

Net LNG deliveries are expected to be 11.3 Bcf today.

Mexican exports are expected to be 5.8 Bcf today, and net Canadian imports are expected to be 5.1 Bcf today.

For week ending Aug 5th, the S/D storage model is point to a +46 Bcf injection and flow model is point to a +45 Bcf . With the change in production for the first week, we see good agreement between the two models.

This email, any information contained herein and any files transmitted with it (collectively, the Material) are the sole property of OTC Global Holdings LP and its affiliates (OTCGH); are confidential, may be legally privileged and are intended solely for the use of the individual or entity to whom they are addressed. Unauthorized disclosure, copying or distribution of the Material, is strictly prohibited and the recipient shall not redistribute the Material in any form to a third party. Please notify the sender immediately by email if you have received this email by mistake, delete this email from your system and destroy any hard copies. OTCGH waives no privilege or confidentiality due to any mistaken transmission of this email.