US natgas pares gains after storage data; heat forecasts keep prices near one-month high

"I think we are seeing a little profit taking and repositioning," said Phil Flynn, senior market analyst for Price Futures Group, adding that the EIA data was not bullish enough to take out "the $3 psychological number".

The U.S. Energy Information Administration (EIA) said energy firms added 15 billion cubic feet (bcf) of gas to storage during the week ended August 21.

That figure was lower than the 20-bcf build analysts forecast in a Reuters poll and compares with an injection of 17 bcf during the same week a year ago and an average increase for that week of 33 bcf over the past five years (2021-2025). In the prior week ended August 14, energy firms added 16 bcf of gas to storage.

Traders will be "looking at the weather going into the end of the weekend, if the heat stays in the forecast, natural gas has a chance to make another run later," added Flynn.

Meteorologists forecast mostly warmer-than-normal temperatures through September 10, as Cooling Degree Days rose to 210 on Thursday. CDDs, which measure energy demand to cool buildings, have been above normal compared with only around 114 this time last year.