The crisis is hitting. In every corner of the financial universe we observe phenomenons illustrating this.
Since 2000 natural gas prices typically peaked between December en February. A bottom was put in between August and October.
But energy consumption has changed recently and there is no natural gas spike at the horizon. This year the prices will stay flat, we think.
A collapsing price is caused by a lack of demand and demand is not there because industrial production collapsed.
In March 2008 a 30-year high in natural gas production was reached and even now gas reserves are the highest ever seen.
In a recent past we had tar sand production using up excess reserves. But that’s gone for the moment.
So prices could stay low for a long time. It’s better to speculate on something else than natural gas.
Since 2000 natural gas prices typically peaked between December en February. A bottom was put in between August and October.
But energy consumption has changed recently and there is no natural gas spike at the horizon. This year the prices will stay flat, we think.
A collapsing price is caused by a lack of demand and demand is not there because industrial production collapsed.
In March 2008 a 30-year high in natural gas production was reached and even now gas reserves are the highest ever seen.
In a recent past we had tar sand production using up excess reserves. But that’s gone for the moment.
So prices could stay low for a long time. It’s better to speculate on something else than natural gas.
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