Summer Demand Surge Sends Natural Gas Futures Skyrocketing Amid Record Short Positioning
Natural gas futures skyrocketed Monday as traders rushed to cover their bearish bets built up over five straight weekly losses. The sudden turnaround was fueled by a record level of short positioning, which collided with a weekend weather shift that brought forecast demand soaring.
The NGI models projected a 36 Bcf storage build, while power burn held above 53 Bcf/d. These figures underscored the increased need for natural gas, causing futures to surge.