U.S. Gas Inventories Rise 80 Billion Cubic Feet, Exceeding Forecasts on Oct. 29
Key Facts
U.S. natural gas inventories increased by 80 billion cubic feet in the report released on Oct. 29, exceeding market expectations of 75 billion, according to data reported by Reuters via Investing.com. The increase followed an injection of 77 billion cubic feet the previous week, making the latest reading higher than both the forecast and the prior increase. At the time the report was published, natural gas futures were down 2.37% at 2.96, according to Investing.com data. EL7 daily data show the natural gas index closed at 2.640 on Oct. 23 and at 2.957 on Oct. 29. These figures put the inventory increase and price movement in the context of the approaching heating season, with attention turning to the volume of supplies available at the season’s start.
The U.S. Energy Information Administration forecast in September that inventories would reach 3,969 billion cubic feet on Oct. 31, 5% above the five-year average. The agency linked support for summer storage injections to production growth in the Permian and Haynesville regions, which it cited as sources of increased supply in its forecast. The estimate provides context for storage levels ahead of the start of heating demand, but remains a forecast prepared in September for end-October levels. In a later estimate issued on Oct. 6, the agency put inventories at 3,850 billion cubic feet at the end of the month, equivalent to 2% above the five-year average at the start of the heating season on Nov. 1. It also said injections could continue through mid-November, depending on market and weather conditions.
On prices over the summer, the Energy Information Administration said record U.S. production and ample inventories helped limit price pressures. The Henry Hub spot price averaged $2.93 per million British thermal units from June to August, down 6% from the same period a year earlier. The average provides a measure of market performance during the summer injection months, when available supplies were ample, according to the agency. The report forecast an average Henry Hub price of $3.16 per million British thermal units in 2027, 32 cents, or 9%, below the 2026 average. The agency said a prolonged cold spell could push inventory withdrawals above its estimates, making weather a factor in the pace of withdrawals during the heating season.
The Energy Information Administration has set Nov. 4, 2026, as the release date for its next Weekly Petroleum Status Report, while its next Short-Term Energy Outlook is expected on Nov. 10, 2026. The upcoming updates will allow monitoring of inventory levels after the heating season begins on Nov. 1 and comparison of injection and withdrawal trends with estimates published in October. The possibility that injections could continue through mid-November remains part of the agency’s forecast, which it tied to market and weather conditions. Its 2027 price estimate also includes the possibility of higher-than-expected withdrawals if a prolonged cold spell persists. The release of both updates on schedule would provide new readings on storage trends and price forecasts in the coming months.