Natural Gas pulls back near ten-month low after 2% spike yesterday, EIA storage up 13 BCF

Natural Gas futures spiked impressively yesterday, recovering from a near ten-month low but are failing to sustain today as market eyes the overall demand-supply scenario in the US. The US Energy Information Administration (EIA) reported a slight increase of 13 billion cubic feet or BCF in natural gas storage for the week ending August 15, pushing up the prices higher. This pushed total supplies to 3.2 Tcf. The Henry Hub front-month futures jumped more than 2% following this though a firm US dollar and below average summer temperatures capped upside for the counter today. The amount of gas in storage remains above the agency?s five-year average of 3.03 Tcf for the same time of year. The futures are currently trading down 1.30% at $2.78 per mmbtu. On the MCX, Natural Gas futures are trading at Rs 244.20 per mmbtu, down 1.53% on the day. The counter tested lows around Rs 243.50 per mmbtu in intraday moves.

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