Natural Gas skyrockets as U.S. supplies rise less than expected

                  Natural gas futures soared in U.S. trading on Thursday after official U.S. data revealed that stockpiles rose less than expected last week.

On the New York Mercantile Exchange, natural gas futures for delivery in May traded at USD4.390 per million British thermal units, up 4.18%.

The commodity hit a session low of USD4.173 and a high of USD4.418

The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. in the week ended April 12 rose by 31 billion cubic feet, below expectations for an increase of 34 billion cubic feet.

Inventories increased by 21 billion cubic feet in the same week a year earlier, while the five-year average change for the week represented a build of 39 billion cubic feet.

Typically this time of year, stockpiles begin to climb as milder spring temperatures curb demand for natural gas. 

Total U.S. natural gas storage stood at 1.704 trillion cubic feet as of last week. Stocks were 794 billion cubic feet less than last year at this time and 74 billion cubic feet below the five-year average of 1.778 trillion cubic feet for this time of year.

In the East Region, stocks were 93 billion cubic feet below the five-year average, following net injections of 19 billion cubic feet. 

Stocks in the Producing Region were 48 billion cubic feet below the five-year average of 751 billion cubic feet after a net injection of 13 billion cubic feet.

Below-normal temperatures in the heavily populated eastern half of the U.S. have hiked up demand for natural gas due to increase demand for heating in the country's homes and offices
About half of U.S. households use gas for heating purposes, according to Energy Department data.

Elsewhere on the NYMEX, light sweet crude oil futures for delivery in June were up 1.31% and trading at USD88.11 a barrel, while heating oil futures for May delivery were up 1.04% at USD2.7630 per gallon.
Courtesy : Investing.com

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Crude Oil rises on OPEC meeting rumor

                  Crude Oil futures are trading higher during Friday’s Asian session on reports the Organization of Petroleum Exporting Countries could hold an emergency meeting to address the recent plunge in global oil prices. 

On the New York Mercantile Exchange, light, sweet crude futures for June delivery rose 0.36% to USD88.31 per barrel in Asian trading Friday after up 1.45% at USD88.23 a barrel on Thursday in the U.S. 

Oil showed resilience Thursday, perhaps due to some bottom-fishing, amid some mixed U.S. economic data. In U.S. economic news, initial claims for jobless benefits rose to 352,000 last week from a revised 348,000 in the prior week. Economists expected the number to come in at 355,000. The less volatile four-week moving average rose slightly to 361,250. 

The Philadelphia Federal Reserve said manufacturing activity in the region softened a bit this month with the business conditions index falling to 1.3 from 2 last month. Economists expected a rise to 4 this month. The new orders index slumped to -1 from 0.5 in March. The U.S. is the world’s largest oil consumer. 

On Thursday, Venezuelan Crude Oil Minister Rafael Ramirez told members of the media OPEC could hold a special meeting to discuss the rapid price decline in oil prices. The 12-member cartel is not scheduled to meet again until May in Vienna. 

Venezuela is one of the OPEC members that favors high oil prices and could be concerned that prices have fallen below that country’s preferred level of USD100 per barrel. Venezuela is Latin America’s largest oil producer and is believed by some to be home to the world’s largest reserves. OPEC accounts for 40% of global oil output. 

Elsewhere, Brent futures for June delivery fell 0.26% to USD99.38 per barrel on the ICE Futures Exchange.
Courtesy : Investing.com

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Gold modestly lower on profit-taking

                         Gold futures are trading slightly lower during Friday’s Asian after the yellow metal notched a decent gain during Thursday’s U.S. session. 

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery inched lower by 0.06% to USD1,391.65 per troy ounce in Asian trading Friday after settling up 0.46% at USD1,389.05 a troy ounce in U.S. trading on Thursday. 

Gold futures were likely to test support USD1,322.25 a troy ounce, Tuesday's low, and resistance at USD1,494.95, Monday's high. 

Some mixed U.S. economic data out Thursday helped lift gold a bit. In U.S. economic news, initial claims for jobless benefits rose to 352,000 last week from a revised 348,000 in the prior week. Economists expected the number to come in at 355,000. The less volatile four-week moving average rose slightly to 361,250. 

The Philadelphia Federal Reserve said manufacturing activity in the region softened a bit this month with the business conditions index falling to 1.3 from 2 last month. Economists expected a rise to 4 this month. The new orders index slumped to -1 from 0.5 in March. 

Gold also got a small lift Thursday on speculation regarding increased physical demand in Asia. China and India are among the largest gold consumers in the world. The Bombay Bullion Association said Indian gold purchases are expected to rise 36% through June compared with the year-earlier period. 

Still, just days after its biggest slide in more than decades, gold poses a vexing to many traders. Sentiment is mixed going into next week as traders try to recover from the savage beating gold absorbed earlier this week. 

Elsewhere, Comex silver for May delivery fell 0.09% to USD23.225 per ounce while copper for May delivery lost 0.39% to USD3.188 per ounce.
Courtesy : investing.com

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