I look at the storage chart that EIA provides in their report and see that even though we are at higher than average levels of storage, the draw down is just as steep as usual for this time of year. I have to conclude that the facts are telling us that a build of storage "facilities" were increased to keep up with increasing demand for NG, and that the fear mongers are just playing up higher storage numbers as being bad, when infact there is nothing abnormal about higher storage than the five year average, since consumption is at record highs and demand will only continue to grow, putting lots of demand on a limited storage capacity. The shut ins and low rig counts should be the over-compensation factor at work and the market will find out that there is actually a short term shortage of supply coming this winter. This latest suprise of the EIA report is a tell-tale indication that draw downs will be larger than expected for the rest of the heating season. Prices for NG futures are going to go +$6 verrrrry quickly.
Stockhouse.com: Taking
it to the street
