And today natty ripped higher for an 8% gain in the prompt month. If you have a crystal ball to trade the massive daily swings, there is a fortune to be made.
Today, my bet is that Trump doesn’t run. DeSantis wins GOP nomination.
Assuming GOP wins big in the midterms, I don’t see Biden running. He will have done his job of beating Trump and will let someone else fight the next battles vs GOP. No idea who might win the Dem nomination.
Will there be any lawn left to mow with this kind of heat in TX? My lawn has already said fuck off. Shriveled blades of grass going brown. I just want to keep my trees alive at this point.
As others have indicated, natural gas has driven a huge part of the increase in power costs in the state of TX. Note also that power for summer (July-Aug 2022) has also skyrocketed on concerns about pricing volatility in ERCOT related to grid stability. In fact, some retail providers have stopped taking new enrollments until summer has ended due to risk management concerns.
Austin Energy rates are up for review.
https://austinenergy.com/ae/rates/2022-base-rate-review/2022-base-rate-recommendations
Thankfully the proposal indicates AE rates will go up far less than natural gas has increased.
Usage is the other big driver of people's electric bills. With the heat arriving early in TX this year, electric bills will be higher purely based on higher consumption.
Natural Gas is a stomach-churning market. Its inherent volatility has always been brutal due to the way winter storage works. The only thing crazier is the inherent volatility in the power markets (which up until very recently had virtually zero storage to accommodate demand shifts) which makes natural gas looks like a blue-chip stock.
Anyways, Henry Hub rallied hard in September. Now it is falling hard. The picture below is a daily chart for January delivery Henry Hub.
All that said, I don't think the winter is over by any means. The first shot of real cold in the 11-15 day forecast (or 3-week forecast) and we could get a very nice bounce in Henry Hub pricing. But that might be a good exit point for longs because the 90-day forecasts show this winter is going to be a bust for total heating degree day counts.
It is normal when the weather across the U.S. is this warm. Heating demand just isn't there. Henry Hub had large risk premiums priced into this winter's forward curve and when cold weather doesn't show up, prices have to drop precipitously to clear the market.
Article says wastewater treatment plant is at capacity.
Shit. No temporary moratorium is going to resolve that constraint. You don’t just plop a new one down like this is Sim City.
If you want to improve Nuclear....you have to fix the current version of nuclear.
https://www.utilitydive.com/news/georgia-powers-vogtle-doubles-original-cost-amid-further-delay/609538/
or you need a huge change in nuclear technology that shakes up the NRC.