Natural Gas Futures Market News and Commentary
Sep Nymex natural gas (NGU20) on Friday closed up +0.073 (+3.37%).
Sep nat-gas prices on Friday settled higher but remained below Thursday's 7-1/2 month nearest-futures high. Nat-gas prices continue to rally on the outlook for hot temperatures to blanket the U.S over the next two weeks, which should boost nat-gas demand from power plants to run air conditioners. The Commodity Weather Group on Friday said temperatures would be above normal in Texas, the Midwest, and Northeast through August 21. Maxar, on Thursday, said that above-normal temperatures are expected across most lower 48 states from August 11-20.
Temperatures during July were the hottest in 20 years, according to BNEF. Also, the U.S. Climate Prediction Center recently forecast warmer-than-normal temperatures across the U.S. from August to October.
Export demand for nat-gas has picked up and is supportive for prices as BNEF data shows scheduled nat-gas flows to LNG export plants were at 4 bcf/day on Fr... Read more