Commodities
US Natgas Prices Spike on High Demand and Limited Storage
US natural gas prices rose to $2.92 per million British thermal units after the Energy Information Administration (EIA) released data showing that high temperatures and strong air-conditioning demand limited gas storage additions last week.
The EIA reported that energy firms injected 44 billion cubic feet into storage, below the 87 bcf increase a year earlier and the five-year average of 74 bcf. Total inventories reached 3.298 trillion cubic feet, around 3.6% below last year's level but 3.7% above the five-year average.
Forecasters indicate that warmer-than-normal weather could persist through October 2, supporting gas demand from power generators.