Natural Gas Futures Market News and Commentary
August Nymex natural gas (NGQ21) on Friday closed up +0.057 (+1.42%).
Aug nat-gas prices on Friday extended Thursday's gains up to a new 2-1/2 year nearest-futures high. Nat-gas prices are soaring on concern that hot summer temperatures in the U.S. will boost nat-gas demand from electricity providers to power increased air conditioning usage and further deplete already-tight U.S. nat-gas inventories. The Commodity Weather Group on Friday said that hotter-than-normal temperatures are expected from California to North Carolina from July 28-August 1. Also, above-normal temperatures are forecast for the West and Central U.S. from August 1-5.
The National Oceanic and Atmospheric Administration (NOAA) projects that the ongoing drought in the West will likely last into October, which will cut hydro-power generation and boost nat-gas demand from electricity providers. NOAA said that the contiguous U.S. had its warmest June in 127 years of records.
U.S. lower-48 gas... Read more