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PRES Services

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Getzville, NY 14068
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Energy Market Information

Energy Market Indicators

PRES Energy endeavors to provide the context for clients to make wise energy decisions. Natural gas fundamentals are not only an indicator of price trends in the gas market but also is a strong driver in many parts of the U.S. where increasingly marginal generation is gas fired. There are a range of factors to consider when making energy buying decisions.

Historical Gas Prices

Whether on an Index price or considering taking a fixed position, energy buyers are currently enjoying prices not seen in four to five years. Figure 1 is a graph of historical monthly natural gas settlement prices provides some context for making energy buying decisions today by showing where we have been over the last six years:
Example Historical Natural Gas Prices - NYMEX Settlement

Figure 2 shows how Boston area average monthly electric prices settled over the last couple of years, confirming the influence natural gas generation has on electric generation and that these historical lows present similar opportunities for the electric side of the energy market.

Example Historical Electric Prices in Boston Area

Current Market Opportunities

A look at historical 12-month gas strip prices in Figure 3 shows that it may be a good time to consider taking a fixed price position for a period of time. Does this fit with your energy procurement strategy? What other factors should you consider? How would you weight the different factors you consider important?
Example 12 Month Natural Gas Price Strip

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This page contains forward-looking information and does not consist of financial advice, please consult your financial advisor.

 
 

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