Winter Weather to Keep Natural Gas Prices Firmly in $2.80-$3 Range
Natural gas prices are expected to remain in the $2.80-$3 range as winter approaches, according to FXEmpire. This is because European buyers will likely turn to liquefied natural gas from the U.S., while Qatari manufacturers will have to purchase American natural gas to meet their contracts in Europe.
With a large storage amount of natural gas in the U.S. - 5% above the 5-year average - the market is expected to remain choppy and noisy, rather than momentum-driven.
The situation could become more expensive for natural gas during the cold winter months, but currently, there is still plenty of supply in the United States. The price differential between U.S. gas prices and those in Rotterdam is significant, and it is likely to continue worsening.