US natural gas futures climbed more than 4% to around $3.17 per MMBtu, extending the previous session’s gains, as colder weather forecasts for the Northeast lifted short-term heating demand. A powerful winter storm has led to widespread flight cancellations and school closures, driving a pickup in near-term consumption for both heating and power generation.
At the same time, pipeline deliveries to US LNG export terminals rose to 20.2 bcfd, about 24% above levels from a year earlier and close to record highs, lending support to prices amid persistently tight supply conditions.
Still, traders remain cautious. Warmer-than-normal temperatures are projected for most of the country over the next two weeks, and US natural gas output hit a record earlier this month, factors that could limit further price appreciation in the near term. Market participants are now closely monitoring the evolution of the winter storm, LNG export volumes, and production trends.
