Wednesday, 20 February 2013 02:20
NEW YORK: US natural gas futures rose nearly 4 percent on Tuesday, lifted by the return of weekday industrial demand after the long Presidents Day holiday weekend and by forecasts for continued cold weather in consuming regions of the nation.
"The natural gas market is staging a price recovery as updated temperature forecasts point to above average heating demand through the week ending March 8," said Citi Futures energy specialist Tim Evans.
Thomson Reuters Natural Gas Analytics data showed heating degree days over the next two weeks were "significantly above normal," especially for the western two-thirds of the country.
Degree days are a measure of departure in the mean daily temperature from 65 degrees Fahrenheit (18 degrees Celsius) and are used to estimate demand to heat or cool homes and businesses.
In addition, nuclear power plant outages remained well above normal, boosting near-term demand.
But some traders expect bloated inventories and the impending end of ...