US natgas prices fall 2% to one-week low on mild weather outlook
UNG•UNG•UNG•UNG•U.S. natural gas futures fell 1.9% to settle at $2.967 per mmBtu, their lowest close since September 22, as forecasts pointed to mostly near-normal weather through October 16. Utilities added 64 billion cubic feet to storage in the week ended September 25.
November U.S. natural gas futures fell 5.9 cents to settle at $2.967 per mmBtu. The Energy Information Administration reported a 64-bcf storage build, matching analysts’ forecast and below the five-year average increase of 80 bcf for the week.
Mostly near-normal weather was forecast through October 16, keeping heating and cooling demand low. U.S. Lower 48 gas output averaged 110.7 billion cubic feet per day over the past week, down from a September average of 113.3 bcfd; forecasts showed output rising to 111.7 bcfd next week.
Average gas flows to the nine large U.S. LNG export plants reached 17.9 bcfd in September, up from 17.2 bcfd in August, but below April’s monthly record of 18.8 bcfd. European and Asian gas benchmarks traded near $24 and $26 per mmBtu, respectively.
