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Natural Gas Market: Inventory and Weather (Continued from Prior Part) Trading range
Natural gas futures contracts have been showing the emergence of a rectangular trading range since early June 2015. Prices are fluctuating within this range and trading close to the key resistance of $2.90 per MMBtu (British thermal units in millions). Weather and inventory estimates could drive natural gas prices this week.
Key pivots
The demand from electric power plants could support natural gas prices. The next resistance for natural gas prices is seen at $3 per MMBtu. Prices hit this mark in April 2015. In contrast, the nearest support for natural gas prices is seen at $2.60 per MMBtu. Prices hit this mark in June 2015. The estimates of rising natural gas inventories could push natural gas prices lower.
The EIA (U.S. Energy Information Administration), in its STEO (Short-Term Energy Outlook) report for August, reported that US natural gas prices could average around $2.89 per MMBtu in 2015 and $3.21 per MMBtu in 2016. The natural gas chart suggests that prices could fluctuate between $2.60 and $3 per MMBtu in the short term. Citigroup estimates that natural gas prices could average around $2.70 per MMBtu in 2015 and $3 per MMBtu in 2016.
The performance of ETFs like the VelocityShares 3X Long Natural Gas ETN (UGAZ) and the United States Natural Gas Fund LP (UNG) improves from rising natural gas prices.
They also benefit energy producers like Cabot Oil & Gas (COG), Energen (EGN), and Cimarex (XEC). They account for 3.53% of the SPDR Oil and Gas ETF (XOP). These companies’ natural gas production mix is more than 59% of their production portfolio.
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Cimarex Energy Co.
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CODE : XEC |
ISIN : US1717981013 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Cimarex Energy is a producing company based in United states of america. Cimarex Energy is listed in Germany and in United States of America. Its market capitalisation is US$ 8.3 billions as of today (€ 7.2 billions). Its stock quote reached its highest recent level on May 23, 2018 at US$ 99.89, and its lowest recent point on September 30, 2021 at US$ 87.20. Cimarex Energy has 95 438 121 shares outstanding. |