US natural gas futures edged higher toward $2.90 per MMBtu, rebounding from the five-month low of $2.83 hit in the previous session, as stronger LNG export demand lent support to prices. Gas flows to export facilities have risen to 18.7 billion cubic feet per day so far in February, putting them on track to set a new monthly record.
Upside momentum remains constrained, however, as milder weather forecasts weigh on demand. Above-average temperatures are expected across much of the western United States through the end of the month, limiting heating needs and curbing power sector gas consumption. With winter drawing to a close, traders perceive a lower risk of a late-season cold snap that could significantly tighten supplies.
On the supply side, production remains robust. Output in the Lower 48 has averaged 108.7 billion cubic feet per day in February, up from 106.3 bcfd in January. Meanwhile, storage levels were about 6% below the seasonal norm in mid-February, but that deficit is projected to narrow to roughly 1%.
