Investing.com - Natural gas prices dropped on Monday amid weather forecasts calling for seasonably mild autumn temperatures to settle across much of the lower 48 U.S. states into early October.
On the New York Mercantile Exchange, natural gas futures for delivery in November traded at USD3.685 per million British thermal units during U.S. trading, down 2.09%.
The November contract settled up 0.84% at USD3.763 per million British thermal units on Friday.
The commodity hit a session low of USD3.665 and a high of USD3.751.
Updated weather forecasting models called for seasonably mild temperatures to hover over most of the U.S. through early October, which sent natural gas prices falling.
I
nvestors largely shrugged off calls for pockets of above-normal temperatures in the central U.S.
Demand for natural gas tends to wane at the country's thermal power plants as temperatures moderate, as homes and businesses throttle back on their air conditioners or heaters, especially in autumn and in spring.
Hot or cold temperatures tend to boost demand for the commodity.
Elsewhere, U.S. supply levels remained in focus. Total U.S. natural gas storage stood at 3.299 trillion cubic feet as of last week, 0.5% above the five-year average for the same week and 5.4% below last year's unusually high level.
Early injection estimates for this week’s storage data range from 70 billion cubic feet to 80 billion cubic feet, compared to a 79 billion cubic feet increase during the same week a year earlier.
The five-year average for the week is a build of 75 billion cubic feet.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in November were down 1.30% and trading at USD103.39 a barrel, while heating oil for October delivery were down 1.39% and trading at USD2.9624 per gallon.
On the New York Mercantile Exchange, natural gas futures for delivery in November traded at USD3.685 per million British thermal units during U.S. trading, down 2.09%.
The November contract settled up 0.84% at USD3.763 per million British thermal units on Friday.
The commodity hit a session low of USD3.665 and a high of USD3.751.
Updated weather forecasting models called for seasonably mild temperatures to hover over most of the U.S. through early October, which sent natural gas prices falling.
I
nvestors largely shrugged off calls for pockets of above-normal temperatures in the central U.S.
Demand for natural gas tends to wane at the country's thermal power plants as temperatures moderate, as homes and businesses throttle back on their air conditioners or heaters, especially in autumn and in spring.
Hot or cold temperatures tend to boost demand for the commodity.
Elsewhere, U.S. supply levels remained in focus. Total U.S. natural gas storage stood at 3.299 trillion cubic feet as of last week, 0.5% above the five-year average for the same week and 5.4% below last year's unusually high level.
Early injection estimates for this week’s storage data range from 70 billion cubic feet to 80 billion cubic feet, compared to a 79 billion cubic feet increase during the same week a year earlier.
The five-year average for the week is a build of 75 billion cubic feet.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in November were down 1.30% and trading at USD103.39 a barrel, while heating oil for October delivery were down 1.39% and trading at USD2.9624 per gallon.