The set-up is not looking like a re-visit of the recent $4.43 high, just too many people are aware of the heating degree days records on the 6th and 7th and the expected record pull from inventory to be reported on Thursday.
As one of my mentors used to say as he ran around the floor in a manic fit "Short 'em all..."
First up Zacks:
While the bout of extreme weather across much of the United States may have derailed job growth and snarled air travel, it is certainly helping to boost the outlook for natural gas. The popular heating fuel is used by roughly half of Americans to warm up their homes, and with near-record low temperatures, many were burning far more heat than normal.And from FinViz the recent action (daily) note the gaps:
After all, here in Chicago, temperatures were approaching 50 below (Fahrenheit) with the wind chill, while much of the rest of the Midwest saw similarly low readings. Weather in the Northeast was also quite chilly, while the so-called ‘polar vortex’ of cold weather pushed many parts of the South below freezing as well (read Beat the Cold Weather with These Hot Sector ETFs).
Due to this, many speculate that natural gas demand soared, as heat was running near non-stop in many homes just to keep temperatures at a decent level. And thanks to this huge level of demand across such a large part of the country, some are looking for supplies to drop by over 300 billion cubic feet, possibly surpassing the previous record of 285 bcf, and crushing last year’s supply reduction of 148 bcf in the same week....MORE
