Hurricane passes by the Gulf Coast but 15 more on their way ///

Natural Gas would have gone down today but a report put out by the University of Colorado predicts about 15 more hurricanes this year. The potential for one of these hurricanes to knock out a refinery or rig in the gulf coast is a possibility. With this fear is a frantic natural gas traders market with energy buyers and sellers speculating on high octane emotions. The volatility of the Natural Gas market is always something to watch in utter awe as the slightest thing triggers some amazing spikes in both the natural gas futures and electric prices.

Natural gas trend for the last 6 months ///

We have seen a trend since May as Natural Gas has dropped lower and lower reaching prices under $6 MMBtu. These prices have caused electric rates in Texas to be worth drooling over. Just today a large commercial facility locked in an electric rate for 6.9 cents KWh on a 12 month contract. Considering rates were right below 10 cents kwh in the not so distant past we would be quick to jump on this price if we had an opening in our energy contract to do so.

Natural Gas Prices

Gas rose a fraction today

 Natural Gas Prices today rose a fraction higher but not enough to cause a stir. Yesterday we saw them close at $6.20 MMBtu and today they are at $6.29 MMBtu. This small move has seen the markets remain flat across sectors that correlate strongly with this carbon fuel.

Flat market with Electricity in the state of Texas

Texas electricity has maintained a flat market today with this news and could possibly see electric rates drop tomorrow with no new signs of tropical storms in sight and summer heat remaining around the same temperature we have been at.

Texas has the wettest year on record

One possible cause for lower then usual summer temperatures could be to the fact that rain has kept the temp down enough that Texans do not turn up the air conditioning quite as high. According to recent news Texas has had the wettest year on record starting with the first 7 months of the year. This has been the first no drought year in a decade.

Weather pattern reaches outside of Texas

This wet weather is not just affecting Texas but is similar all around the bordering states and into the carribean. Electricity Rates and Natural Gas continue to cut those who rely on them a break adding needed dollars to the bottom line. Let’s hope the weather and the energy rates remain low for a few more months.