Drop in demand and low usage contribute to inventory build

  • U.S. natural gas inventories expected to increase by 80 billion cubic feet
  • Drop in demand for LNG feedgas and seasonally low use of fuel contribute to inventory build
  • Surplus in storage keeps natural gas prices low
  • U.S. production decline has not affected prices

U.S. natural gas inventories are projected to increase by 80 billion cubic feet, according to a survey by The Wall Street Journal. This is due to a drop in demand for LNG feedgas and seasonally low use of the fuel. The expected inventory build is larger than the five-year average for the week, which will further increase the surplus in storage. Despite a decline in U.S. production, the surplus has kept natural gas prices low, preventing any significant price rallies. The U.S. Energy Information Administration will release the weekly storage report on Thursday.

Factuality Level: 8
Factuality Justification: The article provides factual information about the expected increase in U.S. natural gas inventories based on a survey by The Wall Street Journal. It includes data from analysts, brokers, and traders, as well as the expected range of the inventory build. The article also mentions the impact of the storage surplus on natural gas prices and provides details about the upcoming report by the U.S. Energy Information Administration. Overall, the article sticks to the facts and does not contain any obvious bias, misleading information, or sensationalism.
Noise Level: 3
Noise Justification: The article provides a straightforward report on the expected increase in U.S. natural gas inventories, supported by a survey from The Wall Street Journal. It includes relevant data such as the expected rise in storage levels, the impact on prices, and the upcoming report schedule. The article stays on topic and does not contain irrelevant information or exaggerated reporting. However, it lacks in-depth analysis, antifragility considerations, or accountability of powerful entities, which prevents it from scoring higher.
Financial Relevance: Yes
Financial Markets Impacted: Natural gas markets
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article discusses the expected increase in U.S. natural gas inventories, which can impact natural gas markets and prices.
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Reported publicly: www.marketwatch.com