- Prompt-month heating oil futures decreased 1.26% for the week ending Friday, 1/25, as prices fell $0.0241 per gallon.
- On the New York Mercantile Exchange, crude futures for delivery in February closed at $53.69 per barrel on Friday, 1/25, up 0.98% for the day, and down 0.65% for the week.
- Crude oil prices experienced a modest decline last week but fell nearly 3% on Monday, trading around $52 a barrel. Political turmoil in Venezuela has had an effect on prices, though the Venezuelan president’s decision to stall the expulsion of U.S. diplomats reduced tensions with the United States. Saudi Arabia’s Energy Minister also attempted to downplay the situation in Venezuela, instead focusing his remarks on continued crude oil production cuts in his country. Venezuela ships about 500,000 barrels per day to the U.S., and its heavier-grade crude is essential for the production of diesel and other transportation fuels in America. Washington has also threatened sanctions on Venezuelan oil exports if American personnel are threatened as a result of their political turbulence. The domestic oil rig count saw its first increase of 2019 as it rose from 852 to 862, indicating ramped up production.
- Prompt-month natural gas futures decreased $0.304 for the week ending Friday, 1/25, to settle at $3.178/Dth.
- Overall supply decreased 1.1 Bcf from the previous week. Total demand increased by 3.2 Bcf.
- Natural gas exports in October 2018 were 305,603 million cubic feet, compared with 281,359 million cubic feet in October 2017. This is an 8.62% increase.
- Net withdrawals from storage totaled 163 Bcf, compared with the 5 year average net withdrawals of 185 Bcf and last year’s net withdrawals of 273 Bcf during the same week.
- Working gas stocks total 2,370 Bcf, coming in 305 Bcf less than the five-year average and 33 Bcf more than last year at this time.
- Average peak prices in NYC decreased last week, moving down $27.27 to $49.85 per MWh. Peak prices hit a high of $67.89 between 5-6 PM last Monday, 1/28, in NYC; Average peak prices in PSE&G also decreased, falling $27.11 to average $31.37 per MWh, and topping out at $43.14 on Monday, 1/28, between 7-8 AM.
- Around-the-clock prices for the balance of 2019 decreased $1.51 per MWh for NYC and decreased $1.43 per MWh in PSE&G. Calendar 2020 prices in NYC decreased $0.99 per MWh, and PSEG prices decreased $0.27 per MWh.
- Temperatures averaged 2.36°F below historical figures this past week (ending 1/26), and came in 1.64°F above forecasted values. Highs for the week are expected to average around 31°F with lows averaging 19°F. Temperatures are forecasted to be 8.00°F cooler than seasonal averages, and 5.14°F below last week’s average.
- Temperatures will fall even further below seasonal averages this week as several days of freezing weather move in. Rain is expected on Tuesday, and there is a possibility of snow squalls on Wednesday. Short term forecasts show below average temperatures in the majority of the country, with some average and above average temperatures on the West Coast. Longer term forecast models are predicting above-average to average temperatures on the West Coast and Northwest with below-average temperatures in much of the eastern U.S.