The US natural gas price fell hard again on Wednesday, as the month-ahead contract on Henry Hub lost another 6%, this time outpacing losses on European hubs UK NBP and Dutch TTF – which fell 1.6% and 3.7% in the session, respectively. This pushed the TTF spread back into positive territory and narrowed the NBP discount on HH by a third.
Global crude price Brent and US benchmark WTI lost 2.6% and 1.9% in Wednesday’s session, respectively, closing at USD 29.19/barrel and USD 25.29/barrel. Both were trading higher in intra-day trading on Wednesday. The June-dated WTI contract expires next Tuesday, and some analysts are warning of the potential for a repeat of the volatility seen last month when the May-dated contract expired and turned briefly negative.
Front-month futures and indexes at last close with day-on-day changes (click to enlarge):
Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights reserved.