BOIL - February 5 2019 Natural Gas Storage Report: Market's EOS Storage Expectations Are Too Bearish
The Weather
Last week, the number of heating degree-days (HDDs) increased by 7.0% w-o-w and by more than 30% y-o-y. We estimate that total energy demand (as measured in total degree-days - TDDs) was approximately 35% above last year's level.
This week, the weather conditions have warmed up sharply across the country. A decline in heating demand was especially pronounced in the Midwest and Northeast parts of the U.S. We estimate that the number of HDDs will plunge by around 36.0% w-o-w in the week ending February 8. However, because HDDs are decreasing from a