6 November 2020
- This week we have seen continued increase to the volume of LNG exported by the USA. This is to such an extent that it appears volumes are back to normal. However, our current estimates suggest a trend towards oversupply for the month of November overall as based on the data so far imports are lower than would be desired.
- Our Implied EU Demand indicator, which is presenting an improvement to demand over weeks 45 and 46. However, this still leaves our index in negative territory. This is resulting from high pressure expected much of the European continent providing warmer than normal temperatures. We are also seeing weakened demand from China and we expect weakened demand from Japan too. This is also off the back of a high pressure system forecast to hold over the region over the upcoming week.
- We are seeing improvements to the relevant FX markets for LNG. However, our index remains in negative territory. In contrast, we have seen continual decline to our Liquidity Index over the past 5 weeks. Although, this does remain in positive territory currently, we are seeing a strong decreasing trend.