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Natural gas rises on stronger LNG export flows
September Nymex natural gas settled up 1.2% as estimated LNG net flows to US export terminals hit 18.0 bcf/day, the highest in five days.
Natural gas prices rose on Monday, with September Nymex futures (NGU26) settling up 1.2% after higher flows to US liquefied natural gas export terminals reduced domestic supplies, according to Yahoo Finance.
Estimated LNG net flows to US export terminals were 18.0 bcf/day on Monday, the most in five days. Gains were capped, however, as forecasts shifted cooler for the eastern US through August 17, which could temper power-sector demand for air conditioning.
The article also cited a bearish medium-term factor, speculation that a strong El Niño could bring warmer-than-normal temperatures this fall and winter, lowering natural gas heating demand. On the supply and demand side, US (lower-48) dry gas production was 112.5 bcf/day, and lower-48 state gas demand was 78.7 bcf/day, both compared on a year-over-year basis using BNEF estimates.
Looking at drivers for price expectations, the article noted projections for higher US production are negative for prices, including an EIA increase to its 2026 dry natural gas forecast to 111.2 bcf/day from 111.0 bcf/day. On the demand side, Edison Electric Institute data showed US electricity output rose week-over-week in the week ended July 18, while inventories for the week ended July 24 increased by 28 bcf, per the article.
Latest closeNat gas $2.687 ▼3.4%