Natural Gas Price prods four-day uptrend at the highest levels in 1.5 months.
Hopes of more US energy demand due to hot weather, technical breakout previously fuelled XNG/USD price.
Chatters about higher gas output join broad risk-off mood to weigh on commodity price ahead of China inflation.
Natural Gas Price (XNG/USD) pares recent gains around $2.83 as bulls await China inflation data on early Wednesday. In doing so, the XNG/USD prints the first daily loss in five amid mixed concerns about the demand and supply, as well as due to the risk-off mood.
That said, Reuters conveyed the news suggesting a notable increase in the Natural Gas demand in the US amid hot weather. The news quotes the data provider Refinitiv as it forecasts the US gas demand, including exports, to increase from 101.8 billion cubic feet per day (bcfd) this week to 105.2 bcfd next week.
On the other hand, the gas supplies remain firmer around 102.1 bcfd in the US Lower 48 states after refreshing an all-time high of 102.2 bcfd in May.
Elsewhere, Italy’s surprise tax on windfall profits of banks joined the global rating agencies’ downward revision to the US banks and financial institutions to weigh on the risk sentiment and the Natural Gas price. On the same line could be fears of the UK recession and slowing economic growth in China.
Amid these plays, Wall Street closed in the red with major losses among the bank stocks whereas the US 10-year Treasury bond yields dropped to the weekly low of around 3.98% before bouncing off 4.03% by the day’s end. That said, S&P500 Futures remains mildly offered by the press time.
Looking forward, China’s Consumer Price Index (CPI) and Producer Price Index (PPI) for July will be crucial for intraday directions of the Natural Gas Price ahead of the weekly Natural Gas stockpiles and the key US inflation clues, up for publishing on Thursday
면책 조항: 본 게시글에 표현된 견해는 전적으로 작성자의 견해이며 Followme의 공식 입장을 대변하지 않습니다. Followme는 제공된 정보의 정확성, 완전성 또는 신뢰성에 대해 책임을 지지 않으며, 서면으로 명시적으로 언급되지 않는 한 해당 내용을 기반으로 취해진 어떠한 조치에 대해서도 책임을 지지 않습니다.
