DJ Citi Lowers Price Forecast for Natural Gas -- Market Talk
10:31 EDT - Citigroup is the latest bank to pull back on its expectations for natural gas prices. Firm cut its
forecast by more than 13% to $3.90 per mBtu both for the rest of 2014 and for 2015. Citi Research strategist Anthony
Yuen had been calling for higher prices to cover the risk of shortages after the winter ended with stockpiles at an
11-year low. But production from the Marcellus shale and a mild summer with little demand for gas-fired power has
proven to be too much, he writes. At this rate there could even be a glut of gas with 3.9 T cubic feet in storage by
the end of October 2015, he adds. (tim.puko@wsj.com)
(END) Dow Jones Newswires
September 10, 2014 10:31 ET (14:31 GMT)
Copyright (c) 2014 Dow Jones & Company, Inc.
No comments:
Post a Comment