US natgas prices rise to two-week high on LNG exports, hotter forecasts
UNG•Prices rise to two-week high
U.S. natural gas futures edged up to a two-week high on Wednesday on a daily rise in liquefied natural gas (LNG) export plants and forecasts for hotter weather and higher demand over the next two weeks than previously expected.
Front-month gas futures for September delivery on the New York Mercantile Exchange rose 3.0 cents, or 1.1%, to $2.797 per million British thermal units (mmBtu), putting the contract on track for its highest close since July 24.
Supply and storage remain elevated
Financial firm LSEG said average gas output in the U.S. Lower 48 states rose to 111.1 billion cubic feet per day (bcfd) so far in August, up from a monthly record high of 110.7 bcfd in July.
Record output and mild spring weather so far this year have allowed energy firms to keep the amount of gas in inventory higher than the five-year (2021-2025) average since March.
