U.S. Weather Outlook
Natural Gas Storage
Natural Gas Pricing Snapshot
NYMEX Natural Gas Calendar Strips
The NYMEX 12-Month Strip averages the next 12 months of Henry Hub futures into one price. It’s a powerful indicator of market sentiment — allowing traders (and end users) to lock in year-long coverage at a blended rate.
Watching shifts in this strip helps gauge the broader direction of gas markets, beyond just the prompt month.
LNG Exports
Both NYMEX forward strips and LNG export levels remain near recent averages, suggesting a largely balanced market for now.
(Charts: NYMEX Natural Gas Calendar Strips and LNG Exports)
Electricity Market Trends
(PJM) Ad Hub day-ahead prices remain under 5¢/kWh through the next three months, with next winter’s pricing also looking more favorable than last year’s.
Electricity Market Shows Early Signs of Strain
Market indicators suggest growing concern about future supply-and-demand imbalances. Pricing patterns are becoming more extreme:
- Shoulder months (April–May, September–October) are expected to trend lower.
- High-demand months (winter and peak summer) are projected to climb higher.
PJM Ad Hub DA & Forward Trend Analysis
Action Steps to Consider
- Take advantage of lower shoulder-month pricing. Hedge a portion of your usage for months like April, May, September, and October, where current rates range from $0.039/kWh to $0.0464/kWh for next year.
- Prepare for grid reliability risks. The 2027/2028 capacity auction fell short of forecasted demand, raising concern about brownouts or blackouts.
- Plan for resilience. Explore backup generation, solar-plus-storage systems, or power-quality equipment.
- Earn through Demand Response. Enrolling in a program can offset costs and even reward you for reducing usage during high-demand periods.
