Pink line graph of market statistics
Markets

U.S. natural gas futures rise to 4-week high after weekly storage data

Investing.com -

Investing.com - U.S. natural gas futures rose to a fresh four-week high on Thursday, extending gains into a fifth session after data showed that domestic supplies in storage rose less than anticipated last week.

U.S. natural gas for August delivery was at $3.117 per million British thermal units by 10:33AM ET (1433GMT), up 2.4 cents, or around 0.8%. Futures were at around $3.075 prior to the release of the supply data.

Natural gas edged higher on Tuesday to notch its fourth wining session in a row on Wednesday.

The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. rose by 46 billion cubic feet in the week ended June 23, below forecasts for a build of 52 billion.

That compared with a gain of 61 billion cubic feet in the preceding week, an increase of 37 billion a year earlier and a five-year average rise of 72 billion cubic feet.

Total natural gas in storage currently stands at 2.816 trillion cubic feet, according to the U.S. Energy Information Administration, 10.2% lower than levels at this time a year ago but 6.4% above the five-year average for this time of year.

Meanwhile, updated weather forecasting models continued to point to increased summer demand in the weeks ahead.

Natural gas prices have closely tracked weather forecasts in recent weeks, as traders try to gauge the impact of shifting outlooks on summer heating demand.

Gas use typically hits a seasonal low with spring's mild temperatures, before warmer weather increases demand for gas-fired electricity generation to power air conditioning.

Nearly 50% of all U.S. households use gas for heating.

Investing.com offers an extensive set of professional tools for the financial markets.

Read more News on Investing.com and download the new Investing.com apps for Android and iOS! https://i-invdn-com.akamaized.net/news/LYNXNPEC0D10D_M.jpg © Reuters.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx