We had a little bit of noise once the US attacked Iran and the Iranians attacked the Qatari supply. As Qatar is a major supplier to the European Union, you saw more of that in the Rotterdam contract than over here in Henry, Louisiana. So, with that being said, this market has shown itself to be very US-centric still.<\/p>\n
Qatar has since brought back production to about 80%, and I can\u2019t imagine they\u2019re going to sit on their hands, so by the time we get to the high-demand season, I think we\u2019re probably pretty much back to normal unless the war between the Americans and the Iranians escalates.<\/p>\n
I don\u2019t see that happening, at least not yet. It doesn\u2019t look like anybody has a real appetite for that because we had reached the point where you\u2019re starting to talk about hundreds of thousands of US troops in Iran, and that is a completely different conversation.<\/p>\n
Short-Term Pullbacks and Winter Contract Outlook<\/p>\n
So, with that being said, short-term pullbacks, I think, will be the norm here for probably the next 2 to 3 months, but once we start to focus on winter contracts in the fall, the futures market should pick up. As things stand right now, I believe sometime in maybe September you start to nibble on rallies and perhaps try to get to the $4.50 level. This is all weather-dependent, though, and that\u2019s the biggest thing. Transmission is fine, the United States has more natural gas than we know what to do with, and in fact, it\u2019s in the drinking water in some places; it\u2019s that abundant.<\/p>\n
So, really, at this point in time, natural gas is still a market I like to short. There was a narrative last year about AI data centers needing more electricity. Something that they forgot to include in that was it doesn\u2019t matter how much natural gas you have; if you do not have the electrical grid to power it, you don\u2019t have the ability to convert natural gas into electricity, so that\u2019s a completely different conversation.<\/p>\n","protected":false},"excerpt":{"rendered":"We had a little bit of noise once the US attacked Iran and the Iranians attacked the Qatari…\n","protected":false},"author":2,"featured_media":521684,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[238734,2791,42,33991,28757,43,40,38,41,39,2059,14944],"class_list":["post-521683","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-chris_gas_forecast","tag-commodities","tag-headlines","tag-home-page-4","tag-natural-gas","tag-news","tag-top-news","tag-top-stories","tag-topnews","tag-topstories","tag-video","tag-weekly"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/521683","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=521683"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/521683\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/521684"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=521683"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=521683"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=521683"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}