🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Natural gas futures fall on forecasts for mild weather

Published 03/18/2014, 10:18 AM
Natural gas drops on forecasts for mild weather
CL
-
NG
-
NYF
-
ICON
-

Investing.com - Natural gas futures pulled back on Tuesday, as forecasts for mild weather in the near-term was expected to reduce demand for the heating fuel.

On the New York Mercantile Exchange, natural gas futures for delivery in April fell to a session low of $4.460 per million British thermal units, the weakest level since March 14.

Nymex natural gas prices last traded at $4.484 per million British thermal units during U.S. morning hours, down 1.15%, or 5.2 cents.

The April contract rallied 2.51%, or 11.1 cents, on Monday to settle at $4.536 per million British thermal units.

Futures were likely to find support at $4.341 per million British thermal units, the low from March 14 and resistance at $4.587, the high from March 17.

The Commodity Weather Group said the weather would be mostly normal in parts of the Midwest and Southeast through March 22 before turning colder.

Total U.S. natural gas storage stood at 1.001 trillion cubic feet, the lowest for this time of year since 2003.

Prices slumped to a seven-week low of $4.341 per million British thermal units on Friday, amid concerns that the arrival of spring will bring warmer temperatures throughout the U.S. and cut into demand for heating.

The heating season from November through March is the peak demand period for U.S. gas consumption. Approximately 52% of U.S. households use natural gas for heating, according to the Energy Department.

Elsewhere on the Nymex, light sweet crude oil futures for delivery in May rose 0.64%, or 62 cents, to trade at $98.25 a barrel, while heating oil for April delivery dipped 0.04% to trade at $2.889 per gallon.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.