Commodities
Henry Hub Winter Prices Plummet Amid Strong El Niño
Natural gas winter forward prices at the Henry Hub have hit their lowest point of the year due to a strong El Niño and ample supply, mirroring a three-year trend.
The 2026/27 strip has lost 22% in value so far this year, with production holding steady near 112 Bcf/d. This echoes the decline seen during the 2023/24 winter period, which was also characterized by an El Niño event.
El Niño's impact on natural gas prices is significant, as it typically leads to warmer temperatures and reduced demand for heating. With production levels remaining high, the combination of these factors has put downward pressure on prices.