The Northeast Asian assessed spot LNG price JKM for the previous week (31 October-4 November) fell to USD 26/MBtu on 31 October from USD 30/MBtu the previous week due to weak sentiment.
JKM remained flat on 1 November, but rose to USD 29/MBtu due to buying by portfolio players seeking to optimize across regions on 3 November. It then fell to USD 28/MBtu due to high inventory levels in the Asian region.
According to a 2 November METI release, LNG inventories for power generation were 2.50 million tonnes as of 30 October, up 0.43 million tonnes from the end of the same month last year, and up 0.66 million tonnes from the average of the past five years, remains high level.
The European gas price TTF rose to USD 35.8/MBtu on 31 October from USD 32.7/MBtu the previous week. On 1 November, TTF fell to USD 33.9/MBtu on the back of high level of underground gas storage volume. It then rose to USD 36.5/MBtu as European LNG prices rose on 2 November.
As some buyers began diverting cargoes to Asia to avoid congested European LNG terminals, the price dropped to USD 33.2/MBtu on 4 November due to mild weather and near-full underground gas storage.
The U.S. gas price HH rose to USD 6.4/MBtu on 31 October from USD 5.7/MBtu the previous week. As the market tried to determine the weather forecast, HH shows seesawing price, falling to USD 5.7/MBtu on 1 November and rising to USD 6.3/MBtu on the following day, but remained slightly lower at USD 6.0/MBtu on the 3 November and USD 6.4/MBtu on 4 November.
According to the EIA Weekly Natural Gas Storage Report released on 3 November, natural gas underground storage on 28 October totaled 3,501 Bcf, up 107 Bcf from the previous week, but still low, down 2.8% from the same period last year and down 3.7% from the five-year historical average.
Updated 09 November 2022