Investing.com – Natural gas futures climbed to a three-week high in thin trade on Monday, amid expectations for increased demand after forecasts showed warmer-than-normal temperatures across much of the U.S. next week.
On the New York Mercantile Exchange, natural gas futures for July delivery traded at USD4.583 per million British thermal units during U.S. morning trade, jumping 1.33%.
It earlier rose by as much as 1.45% to USD4.588 per million British thermal units, the highest price since May 5.
U.S. floor trading remained closed on Monday for Memorial Day. Electronic trades will be booked with Tuesday’s transactions for settlement purposes.
Natural gas prices extended sharp gains from the previous session, when the Commodity Weather Group said that temperatures through June 10 should be the warmest of the season so far for East Coast cities.
The weather group added that it expected warmer-than-usual weather in the U.S. Midwest and Great Lakes regions through June 9, while temperatures in Texas and parts of the Southeast may be up to 14 degrees above normal during the period.
According to weather service provider AccuWeather, the high temperature in St. Louis on June 8 will be 96 degrees Fahrenheit (36 Celsius), 12 degrees above normal.
The high temperature in Dallas on June 4 could be 99 degrees Fahrenheit (37 Celsius), ten degrees above average.
Meanwhile, industry weather group Weather Derivatives said on Friday that U.S. cooling demand from June 2 through June 6 was expected to be 7% above normal.
Hotter-than-normal weather increases the need for gas-fired electricity to cool homes, boosting demand for natural gas.
Elsewhere, light sweet crude oil futures for delivery in July shed 0.4% to trade at USD100.33 a barrel, while heating oil for July delivery dipped 0.17% to trade at USD2.994 per gallon during U.S. morning trade.
On the New York Mercantile Exchange, natural gas futures for July delivery traded at USD4.583 per million British thermal units during U.S. morning trade, jumping 1.33%.
It earlier rose by as much as 1.45% to USD4.588 per million British thermal units, the highest price since May 5.
U.S. floor trading remained closed on Monday for Memorial Day. Electronic trades will be booked with Tuesday’s transactions for settlement purposes.
Natural gas prices extended sharp gains from the previous session, when the Commodity Weather Group said that temperatures through June 10 should be the warmest of the season so far for East Coast cities.
The weather group added that it expected warmer-than-usual weather in the U.S. Midwest and Great Lakes regions through June 9, while temperatures in Texas and parts of the Southeast may be up to 14 degrees above normal during the period.
According to weather service provider AccuWeather, the high temperature in St. Louis on June 8 will be 96 degrees Fahrenheit (36 Celsius), 12 degrees above normal.
The high temperature in Dallas on June 4 could be 99 degrees Fahrenheit (37 Celsius), ten degrees above average.
Meanwhile, industry weather group Weather Derivatives said on Friday that U.S. cooling demand from June 2 through June 6 was expected to be 7% above normal.
Hotter-than-normal weather increases the need for gas-fired electricity to cool homes, boosting demand for natural gas.
Elsewhere, light sweet crude oil futures for delivery in July shed 0.4% to trade at USD100.33 a barrel, while heating oil for July delivery dipped 0.17% to trade at USD2.994 per gallon during U.S. morning trade.