Natural gas yesterday traded with the positive node and settled 0.37% up at 188.4 as after a weekly government report showed U.S. gas stockpiles fell last week. Data from the U.S. Energy Information Administration showed U.S. inventories fell by 1 billion cubic feet in the week ended Nov. 25, surprising analysts that had called for a 10-bcf rise. The stockpile draw--the first such decline ahead of the winter heating season--comes after warmer-than-average temperatures across much of the U.S. throughout November cut the need for gas-fired heating. Still, gas inventories remain elevated. Stockpiles currently sit at 3.851-tcf, 7.3% above the five-year average and 1.1% higher than the same period last year. High U.S. production coupled with low demand has kept gas futures well below levels seen last winter, when prices topped $6/MMBtu. Earlier this week, the Energy Department said gas output rose to a record 70.4 bcf per day in August. In yesterday's trading session natural gas has touched the low of 183.5 after opening at 187.2, and finally settled at 188.4. For today's session market is looking to take support at 184.3, a break below could see a test of 180.3 and where as resistance is now likely to be seen at 191.6, a move above could see prices testing 194.9.
Natural Gas trading range is 180.3-194.9.
Natural gas jumped as after a weekly government report showed U.S. gas stockpiles fell last week.
U.S. natural gas inventories fall by 1 billion cubic feet
Stockpiles remain well above five-year average levels
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