Natural Gas Futures Market News and Commentary
Feb Nymex natural gas (NGG23) on Friday closed up +0.165 (+5.60%).
Feb nat-gas Friday recovered from early losses and closed sharply higher on fund short covering ahead of Friday's expiration of the New York Mercantile Exchange's Feb nat-gas contract. Nat-gas prices Friday initially opened lower after updated weather forecasts shifted warmer for most of the U.S. starting Feb 1, reducing heating demand for nat-gas. Also, a report Friday from Rystad Energy weighed on crude prices when Rystad said nat-gas prices might fall to as low as $2 per million British thermal units in the next few months as rising supplies are poised to outpace demand.
EBW Analytics Group said in a note to clients Wednesday that nat-gas prices are facing "extended downside risks over the next 30-45 days" due to a combination of strong production, constrained export demand because of the Freeport LNG terminal shutdown, growing inventory surpluses, and mild winter temperatures.
Nat-gas prices h... Read more