US natural gas futures rise 1.3% to $2.952 amid extended summer heat

  • US natural gas futures traded 1.3% higher at $2.952 per MMBtu.
  • Third consecutive below-average storage build failed to sustain resistance near $3.
  • Summer heat extended into September while production and inventories remained comfortable.

US natural gas futures were up 1.3% at $2.952 per MMBtu as extended summer heat supported demand, although solid production, comfortable inventory levels and weak Nymex winter contracts capped gains. The market has alternated between daily advances and declines, with a third consecutive below-average weekly storage build unable to sustain resistance around $3. Hot conditions across the continental US continued to support gas-fired power generation, while average flows to nine major LNG export plants had increased to 18.3 bcfd in early September from 17.2 bcfd in August after Texas facilities returned to full operations from maintenance. Inventories remained 5.2% above their five-year seasonal average, and Lower 48 production held near record-high average levels. EBW Analytics said the near-term market was being shaped by a widening year-over-year South Central storage deficit and weak Nymex winter contracts, while Labor Day weekend often brings softer spot prices.

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