24.6 C
New York
Thursday, August 11, 2022

Natural Gas Futures Surge 8% on Forecasts for More Heating Demand

Natural Gas Futures Surge 8% on Forecasts for More Heating Demand© Reuters. Natural Gas Futures Surge

Investing.com – Natural gas futures surged to their highest level in almost two years on Monday, as traders reacted to bullish weather forecasts for most parts of the United States over the next two weeks.

U.S. jumped 25.8 cents, or around 7.8%, to $3.542 per million British thermal units by 8:45AM ET (1345GMT). It reached its best level since December 30, 2016 at $3.570 earlier.

Weather systems will track across the northern U.S. the next several days with rain and snow, leading to an increase in heating demand.

Natural gas prices typically rise ahead of the winter as colder weather sparks indoor-heating demand.

The heating season from November through March is the peak demand period for U.S. gas consumption.

Meanwhile, market participants looked ahead to storage data for the week ending November 2, due out on Thursday.

Total natural gas in storage currently stands at 3.143 trillion cubic feet (tcf), according to the U.S. Energy Information Administration, the lowest level for this time of year in 15 years.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source: Investing.com

Related Articles

Stay Connected

- Advertisement -

Latest Articles

Popular Articles