NAB pushes out first rate cuts to May 2025 as “lower for longer” strategy plays out
Insight
August 3, 2012
Natural Gas Market Update – August 2012
US natural gas lift on winding down inventories (after seasonal adjustment), and increased consumption due to shift away from coal to gas in electricity generation for summer European prices weaken as increased Russian supplies, soft demand and reduced arbitrage opportunities to Asia see more LNG enter European natural gas market Prices in Asia Pacific surge […]
- US natural gas lift on winding down inventories (after seasonal adjustment), and increased consumption due to shift away from coal to gas in electricity generation for summer
- European prices weaken as increased Russian supplies, soft demand and reduced arbitrage opportunities to Asia see more LNG enter European natural gas market
- Prices in Asia Pacific surge through June before pulling back in July as Asian summer demand appears largely met, meaning little activity in the spot market
- Henry Hub prices to weaken a little in the near term as high storage levels and ongoing strength in production require low prices to help clear market
- Asian LNG prices forecast to continue easing as high stocks imply little spot market demand and oil prices have come off since levels evident earlier in the year
For further analysis download the full report.
