· Brian Horton · Natural Gas Storage · 1 min read
Natural Gas Storage Draw Exceeds Forecasts, Prices Remain Weak
Natural gas storage saw a 174 Bcf draw, exceeding forecasts. Despite tightening supply, prices remain weak amid market uncertainty and demand shifts.
Storage withdrawal exceeds expectations
The latest EIA natural gas storage data shows a 174 Bcf withdrawal for the week ending January 31, 2025, surpassing analyst expectations. Storage levels are now 208 Bcf lower than a year ago and 111 Bcf below the five-year average, highlighting tightening supplies.
Market Impact and Price Trends
Despite the bullish storage report, natural gas prices remain lower than at the start of 2025. Prices initially surged but later retreated as traders took profits, reflecting ongoing market volatility.
Although current demand is mild, forecasts indicate a potential rise in weather-driven consumption, which could support prices in the coming weeks. However, supply stability and economic factors continue to limit significant price gains, keeping natural gas futures under pressure.
Key Insights:
✔️ 174 Bcf storage draw exceeds expectations.
✔️ Storage remains below last year’s levels and the five-year average.
✔️ Natural gas prices are weaker compared to early 2025.
✔️ Weather-driven demand may influence future price trends.
With market uncertainty persisting, traders and analysts are closely watching weather patterns, supply trends, and economic factors for potential price shifts in the coming weeks.
- Natural gas
- Energy markets
- Natural Gas Stroage