Gas Prices Rebound on Narrowing Surplus and Robust Demand

Natural gas futures prices ticked up early Friday as market participants digested a narrowing storage surplus, solid production, and robust late-summer cooling demand.

The NGI Daily Gas Price Index reported that September demand is holding strong, with production averaging 112.5 Bcf/d. This is slightly above the average, while gas in storage remains 5.2% above normal levels.

LNG volumes are also strong, which could help alleviate any potential supply issues. However, market participants will be watching closely to see if this demand can continue through the winter months.