Investing.com – Natural gas futures fell for the first time in four days in thin holiday trade on Thursday, as investors cashed out of the market to lock in gains from a rally that took prices to an eight-day high earlier.
On the New York Mercantile Exchange, natural gas futures for January delivery traded at USD3.583 per million British thermal units during U.S. morning trade, slumping 1.1%.
Trading volumes were expected to be light with NYMEX Floor trading shut for the U.S. Thanksgiving holiday. Electronic transactions would be booked with Friday’s trades for settlement purposes.
Futures rose by as much as 0.65% earlier to hit USD3.647 per million British thermal units, the highest since November 14, as prices were boosted by a report showing that U.S. natural gas inventories rose less-than-expected last week.
The U.S. Energy Information Administration said in its weekly report published Wednesday that natural gas storage in the U.S. rose by 9 billion cubic feet in the week ended November 18, after increasing by 19 billion cubic feet in the preceding week.
Analysts had expected U.S. natural gas storage to rise by 17 billion cubic feet. Supplies declined by 6 billion cubic feet in the same week a year earlier, while the five-year average change is a drawdown of 7 billion cubic feet.
Total U.S. natural gas storage stood at 3.852 trillion cubic feet, just shy of the all-time high of 3.867 hit in early November.
Stocks were 23 billion cubic feet higher than last year at this time and 233 billion cubic feet above the five-year average of 3.619 trillion cubic feet for this time of year.
However, the jump in prices prompted some investors to sell their position and lock in gains, as investors turned their attention to weather forecasts for the end of November and early December.
The Commodity Weather Group said on Wednesday that the U.S. Northeast was expected to remain warmer-than-normal through the first week of December, which could potentially limit heating demand.
According to the group’s 6-to-10-day weather outlook, the Northeast, including most of New York, was forecast to be nearly 3 degrees Fahrenheit (1.6 Celsius) warmer-than-normal from November 28 to December 2.
Since the beginning of November, natural gas futures have fallen nearly 15%, as mild weather in key gas-consuming regions in the U.S. and concerns over record-high inventory levels drove prices lower.
Elsewhere on the Nymex, light sweet crude oil futures for delivery in January rose 0.75% to trade at USD96.91 a barrel, while heating oil for December delivery added 0.4% to trade at USD2.970 per gallon.
On the New York Mercantile Exchange, natural gas futures for January delivery traded at USD3.583 per million British thermal units during U.S. morning trade, slumping 1.1%.
Trading volumes were expected to be light with NYMEX Floor trading shut for the U.S. Thanksgiving holiday. Electronic transactions would be booked with Friday’s trades for settlement purposes.
Futures rose by as much as 0.65% earlier to hit USD3.647 per million British thermal units, the highest since November 14, as prices were boosted by a report showing that U.S. natural gas inventories rose less-than-expected last week.
The U.S. Energy Information Administration said in its weekly report published Wednesday that natural gas storage in the U.S. rose by 9 billion cubic feet in the week ended November 18, after increasing by 19 billion cubic feet in the preceding week.
Analysts had expected U.S. natural gas storage to rise by 17 billion cubic feet. Supplies declined by 6 billion cubic feet in the same week a year earlier, while the five-year average change is a drawdown of 7 billion cubic feet.
Total U.S. natural gas storage stood at 3.852 trillion cubic feet, just shy of the all-time high of 3.867 hit in early November.
Stocks were 23 billion cubic feet higher than last year at this time and 233 billion cubic feet above the five-year average of 3.619 trillion cubic feet for this time of year.
However, the jump in prices prompted some investors to sell their position and lock in gains, as investors turned their attention to weather forecasts for the end of November and early December.
The Commodity Weather Group said on Wednesday that the U.S. Northeast was expected to remain warmer-than-normal through the first week of December, which could potentially limit heating demand.
According to the group’s 6-to-10-day weather outlook, the Northeast, including most of New York, was forecast to be nearly 3 degrees Fahrenheit (1.6 Celsius) warmer-than-normal from November 28 to December 2.
Since the beginning of November, natural gas futures have fallen nearly 15%, as mild weather in key gas-consuming regions in the U.S. and concerns over record-high inventory levels drove prices lower.
Elsewhere on the Nymex, light sweet crude oil futures for delivery in January rose 0.75% to trade at USD96.91 a barrel, while heating oil for December delivery added 0.4% to trade at USD2.970 per gallon.