Until 3:05 p.m. CT, Henry Hub gas prices were at $ 7,514, up 4.52%, over 109% from year to date. July Nymex natural gas (NGN22) closed at +0.231 (+ 3.21%) on Wednesday. Demand for natural gas for air conditioners is expected to rise sharply as a third of the United States faces extreme heat warnings. In the coming days, heat indicators are expected to break records, putting additional pressure on electricity suppliers. Heat waves are also spreading across Europe, where gas prices rose more than 20% on Wednesday. Gas prices in Europe continue to rise not only because of the temperature but also because of Russia’s move this week to cut gas supplies through the Nord Stream. On Tuesday, Gazprom said it would cut gas flows to Germany via Nord Stream by 40%, citing equipment repairs, prompting German officials to blame Moscow for further gas equipment. On Wednesday, Gazprom said it had cut off gas supplies to Italy as well. In the United States on Tuesday, gas prices fell due to the news of a 90-day shutdown of Texas Freeport LNG export terminal after an explosion last week. ″[C]”The completion of all necessary repairs and the return to full operation of the plant is not expected until the end of 2022″, the company said in an announcement on Tuesday. The delayed restart of Freeport removes about 2% of market demand, suggesting a possible oversupply of gas. As of Wednesday, the potential oversupply, in view of the publication of the gas inventory data on Thursday by the Energy Information Service (EIA), was offset by a heat wave that indicates an increase in demand. By Charles Kennedy for Oilprice.com More top readings from Oilprice.com:
