U.S. Natural Gas Futures Slip in Early Trading

Dow Jones
07/31

1017 ET - U.S. natural gas futures are returning gains that followed a below-estimate weekly storage injection, while weather-driven demand from the power sector is seen strong over the coming week. "Cooling demand may build into the end of next week--but as shown by yesterday's lackluster response to a bullish EIA surprise, higher gas prices are more likely in the medium term," Eli Rubin of EBW Analytics says in a note. The premium in January 2027 over October 2026 prices gives marketers an incentive to fill regional storage, he says. "This demand for injection could support pricing into the fall--particularly if producers eyeing the same contango shape production to better capture higher realized pricing." Nymex gas for September delivery is off 1.1% at $2.729/mmBtu.

 

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