U.S. natural gas inventories likely posted a slightly smaller-than-average increase last week with hot summer weather keeping demand up, according to a Wall Street Journal survey of analysts.
Natural gas in underground storage facilities is seen rising by 30 billion cubic feet to 3,147 Bcf in the week ended Aug.7, according to the average estimate of 10 analysts, brokers and traders. Estimates range from an injection of 26 Bcf to an injection of 41 Bcf.
The expected increase compares with the five-year average injection for the week of 33 Bcf, and would trim the surplus to 192 Bcf from 195 the week before. It would extend the deficit against the year-earlier level to 31 Bcf from 12 Bcf.
In its latest Short Term Energy Outlook, the U.S. Energy Information Administration said it expects storage to end October at a record 3,985 Bcf, with inventories heading into winter at their highest level since 2016. The injection season typically runs from April through October, although storage builds frequently extend into early November.
The EIA is scheduled to release the weekly storage data on Thursday at 10:30 a.m. EDT.