Natural gas futures rose in New York on speculation that a heat wave in the eastern U.S. this week will spur fuel demand before the weather turns cooler.
Futures for September delivery gained as much as 0.7 percent to $3.56 per million British thermal units in electronic trading on the New York Mercantile Exchange and were at $3.558 at 9:47 a.m. Singapore time. The contract settled 0.6 percent higher at $3.534 yesterday.
Forecasts showed unusually hot weather will linger across the lower 48 states over the next five days, according to MDA Weather Services in Gaithersburg, Maryland.
The high temperature in New York City and Chicago on Sept. 4 may be 75 degrees Fahrenheit (24 Celsius), 4 below normal for both cities, according to AccuWeather Inc. in State College, Pennsylvania. Power generation accounts for 32 percent of U.S. gas demand, according to the Energy Information Administration, the Energy Department’s statistical arm.
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