LNG Demand Fuels Natural Gas Price Rebound

Natural gas futures made a comeback on Friday as strong demand for liquefied natural gas (LNG) helped the October contract bounce back from a test of technical support.

The price rebound occurred despite expectations that shoulder season balances, which are typically looser, would weigh down much of the winter strip. The October contract had fallen to $2.846 before recovering.

Despite this recovery, storage surplus continued to shrink, but winter contracts lost ground.