US Natural Gas Futures Rise on Warmer-Than-Normal Weather Forecasts
US natural gas futures rose on Thursday, nearing a one-month high, as forecasts for warmer-than-normal weather through early September boosted expectations for cooling demand. Front-month gas futures for September delivery on the New York Mercantile Exchange increased by 5.1 cents, or 1.8%, to $2.893 per million British thermal units.
The contract had hit $2.911 per mmBtu in the previous session, its highest level since July 24. Futures for October, which will soon be the front-month contract, were up 1.5% at $2.918 per mmBtu.
According to Phil Flynn, senior market analyst for Price Futures Group, 'We are getting a little bit of a heat rally and seeing the LNG export market pick up again, getting back to July levels after maintenance and reduced flows.'