Natural Gas Nov '23 (NGX23)
Natural Gas Futures Market News and Commentary
June Nymex natural gas (NGM26) on Friday closed up +0.066 (+2.28%).
Nat-gas prices rallied to a 6-week nearest-future high on Friday and settled sharply higher. Â Expectations of above-normal temperatures that could boost nat-gas demand from electricity providers to power increased air-conditioning use are underpinning nat-gas prices. Â Forecaster Vaisala said Friday that above-average temperatures are expected from the Rockies to the East for May 25-29. Â Nat-gas also has carryover support from Thursday's smaller-than-expected storage increase in weekly EIA nat-gas inventories. Â
The outlook for the Strait of Hormuz to remain closed for the foreseeable future is supportive for nat-gas as the closure will curb Middle Eastern nat-gas supplies, potentially boosting US nat-gas exports to make up for the shortfall. Â
Projections for higher US nat-gas production are negative for prices. Â On Tuesday, the EIA raised its forecast for 2026 US dry nat-gas production to 110.61 b... Read more
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