US Natgas Prices Plummet on Lower Demand Forecasts

US natural gas futures fell by 3.5% on Friday due to lower demand forecasts for next week, according to recent estimates.

The prices of gas futures for October delivery on the New York Mercantile Exchange dropped 11.7 cents to $3.180 per million British thermal units (mmBtu), marking a decrease from their previous high of $3.51 per mmBtu on Thursday.

Despite this decline, the front-month contract was still up about 9% for the week and had gained around 3% last week. Futures for November were down approximately 3% to $3.26 per mmBtu.

The premium of futures for November over October fell to a record low of around 7 cents per mmBtu, indicating that the market is not concerned about supplies meeting demand this winter.