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The Zacks Analyst Blog Highlights: Range Resources, SilverBow, Comstock, and Antero – Yahoo Finance

Summary

For Immediate Release

Chicago, IL – November 16, 2021 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Range Resources RRC, SilverBow Resources SBOW, Comstock Resources CRK and Antero Resources AR.

Here are highlights from Tuesday’s Analyst Blog:

LNG Exports Fuel Natural Gas …….

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For Immediate Release

Chicago, IL – November 16, 2021 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Range Resources RRC, SilverBow Resources SBOW, Comstock Resources CRK and Antero Resources AR.

Here are highlights from Tuesday’s Analyst Blog:

LNG Exports Fuel Natural Gas Optimism Despite Speed Bumps

The U.S. Energy Department’s weekly inventory release showed a lower-than-expected increase in natural gas supplies. Despite the positive inventory numbers, a set of bearish factors sparked a pullback in the commodity. However, continued strong liquefied natural gas (“LNG”) feedgas deliveries suggest that the fuel’s prices will remain favorable in the short and medium terms.  

Given natural gas’ fundamental set-up, prices might ease occasionally but should generally stay strong. The upward trend should aid gas-weighted producers Range Resources, SilverBow Resources, Comstock Resources and Antero Resources.

EIA Reports a Build Smaller Than Market Expectations

Stockpiles held in underground storage in the lower 48 states rose by 7 billion cubic feet (Bcf) for the week ended Nov 5 compared to the 15 Bcf addition guidance, per the analysts surveyed by S&P Global Platts. The increase was also below the five-year (2016-2020) average net build of 25 Bcf.

The latest injection puts total natural gas stocks at 3,618 billion cubic feet (Bcf), which is 308 Bcf (7.8%) below the 2020 level at this time and 119 Bcf (3.2%) lower than the five-year average.

The total supply of natural gas averaged 99.9 Bcf per day, edging up 0.2% on a weekly basis due to higher dry production, which was partially offset by lower shipments from Canada.

Meanwhile, daily consumption rose 5.7% to 96.6 Bcf from 91.4 Bcf in the previous week, primarily driven by stronger demand from the residential/commercial sector on the back of pre-winter cooler temperatures prevailing in a number of locations across the nation.

Natural Gas Still Registers a Weekly Decline

Natural gas prices trended downward last week despite the lower-than-expected inventory build. Futures for November delivery ended Friday at $4.791 on the New York Mercantile Exchange, falling more than 13% from the previous week’s closing. The decrease in natural gas realization is the result of higher production, a mild weather outlook (and the subsequent lull in heating/cooling demand), plus Russia’s renewed pledge to increase supplies to Europe to tackle the continent’s price explosion.

Wrapping Up

As is the norm with natural gas, changes in temperature and weather forecasts can lead to price swings. The latest models are anticipating moderate temperature-driven consumption, after which prices have gone down.

The commodity also remained under pressure from growing dry gas production levels that has largely neutralized apprehensions that …….

Source: https://finance.yahoo.com/news/zacks-analyst-blog-highlights-range-175205280.html