U.S. natural gas futures settled down 1.6% at $3.167 per million British thermal units as forecasts pointed to milder weather and lower demand next week. Falling output and rising gas flows to LNG export plants limited losses.
November natural gas futures fell 5.3 cents, or 1.6%, to settle at $3.167 per mmBtu on Monday. The contract had closed at its highest level since September 24 on Friday.
LSEG said U.S. Lower 48 gas output averaged 110.7 billion cubic feet per day so far in October, down from record highs of 113.3 bcfd in August and September. Daily output was seen falling to about 108.9 bcfd on Monday, a four-month low. LSEG forecast demand including exports at 107.4 bcfd next week, below its Friday outlook.
Daily gas flows to the nine major U.S. LNG export plants were expected to reach a five-month high of 18.8 bcfd on Monday as Freeport LNG and Cove Point returned to near full service. In southwest Pennsylvania, next-day prices at Enbridge South fell to around 61 cents per mmBtu, their lowest since November 2020.
