THE WEATHER
Last week, the number of heating degree-days (HDDs) jumped by 19.5% w-o-w and by almost 17% y-o-y. We estimate that total energy demand (as measured in total degree-days — TDDs) was approximately 14% above last year’s level.
This week, the weather conditions have cooled down again, but only slightly. An increase in heating demand was especially pronounced in Central and Western parts of the U.S. We estimate that the number of HDDs will rise by around 5.0% w-o-w in the week ending February 22. Because HDDs are rising from a relatively high base,