Natural gas prices shot up on Thursday after official U.S. inventory
data revealed the country's stockpiles rose less than expected last
week, while investors kept their eyes an increasingly active Atlantic
hurricane season as well.
On the New York Mercantile Exchange, natural gas futures for delivery in October traded at USD3.651 per million British thermal units during U.S. trading, up 2.34%.
The October contract settled down 0.47% at USD3.567 per million British thermal units on Wednesday.
The commodity hit a session low of USD3.537 and a high of USD3.662.
The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. in the week ended September 6 rose by 65 billion cubic feet, below market expectations for an increase of 66 billion cubic feet.
Inventories increased by 27 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a build of 62 billion cubic feet.
Total U.S. natural gas storage stood at 3.253 trillion cubic feet as of last week. Stocks were 172 billion cubic feet less than last year at this time and 46 billion cubic feet above the five-year average of 3.207 trillion cubic feet for this time of year.
The report showed that in the East Region, stocks were 114 billion cubic feet below the five-year average, following net injections of 49 billion cubic feet.
Stocks in the Producing Region were 106 billion cubic feet above the five-year average of 993 billion cubic feet after a net injection of 14 billion cubic feet.
Weather forecasts calling for above-normal temperatures across the central U.S. also boosted prices as did an increasingly active Atlantic hurricane season.
While Hurricane Humberto remained out over the open Atlantic, a low-pressure system near the Bay of Campeche stood an 80% chance of developing into a tropical cyclone in the Gulf of Mexico within five days, the National Hurricane Center reported.
Tropical weather systems often disrupt production by prompting gas rig operators to evacuate offshore facilities.
The Gulf of Mexico is home to 10% of U.S. natural gas production.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in October were up 1.23% and trading at USD108.88 a barrel, while heating oil for October delivery were up 1.39% and trading at USD3.1145 per gallon.
On the New York Mercantile Exchange, natural gas futures for delivery in October traded at USD3.651 per million British thermal units during U.S. trading, up 2.34%.
The October contract settled down 0.47% at USD3.567 per million British thermal units on Wednesday.
The commodity hit a session low of USD3.537 and a high of USD3.662.
The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. in the week ended September 6 rose by 65 billion cubic feet, below market expectations for an increase of 66 billion cubic feet.
Inventories increased by 27 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a build of 62 billion cubic feet.
Total U.S. natural gas storage stood at 3.253 trillion cubic feet as of last week. Stocks were 172 billion cubic feet less than last year at this time and 46 billion cubic feet above the five-year average of 3.207 trillion cubic feet for this time of year.
The report showed that in the East Region, stocks were 114 billion cubic feet below the five-year average, following net injections of 49 billion cubic feet.
Stocks in the Producing Region were 106 billion cubic feet above the five-year average of 993 billion cubic feet after a net injection of 14 billion cubic feet.
Weather forecasts calling for above-normal temperatures across the central U.S. also boosted prices as did an increasingly active Atlantic hurricane season.
While Hurricane Humberto remained out over the open Atlantic, a low-pressure system near the Bay of Campeche stood an 80% chance of developing into a tropical cyclone in the Gulf of Mexico within five days, the National Hurricane Center reported.
Tropical weather systems often disrupt production by prompting gas rig operators to evacuate offshore facilities.
The Gulf of Mexico is home to 10% of U.S. natural gas production.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in October were up 1.23% and trading at USD108.88 a barrel, while heating oil for October delivery were up 1.39% and trading at USD3.1145 per gallon.
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