U.S. Natural Gas Gains; Cold Snap Helps Cut Surplus
Natural gas futures declined for the first time in three days on forecasts of warmer weather that would limit demand for the heating fuel.
Gas slid as much as 0.5 percent. Temperatures may be above normal across most of the continental U.S. from Oct. 15 through Oct. 19, according to Commodity Weather Group LLC in Bethesda, Maryland. Stockpiles may reach a record 3.95 trillion cubic feet before cold weather boosts demand, Energy Department data show.
“The near-term weather forecasts aren’t providing support for the gas market,” said Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut. “We’re still heading toward a new record in storage levels.”
Natural gas for November delivery fell 1.1 cents, or 0.3 percent, to $3.456 per million British thermal units at 9:13 a.m. on the New York Mercantile Exchange. The futures have declined 2.4 percent from a year ago.
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