NEW YORK: US natural gas futures fell on Friday on forecasts for less hot weather in the coming weeks than previously expected, which should reduce demand for the fuel.
Front-month gas futures for September delivery on the New York Mercantile Exchange settled 0.7% lower at $3.08 per million British thermal units.
“The weather pattern for the immediate near term isn’t as bullish as we have seen for the past few weeks. This will result in lower power burn demand which is a factor the market has been dealing with for the last few sessions,” said Robert DiDona, president of Energy Ventures Analysis.
Financial firm LSEG estimated 235 cooling degree days over the next two weeks. CDDs, used to estimate demand to cool homes and businesses, measure the number of degrees a day’s average temperature is above 65 degrees Fahrenheit (18.3 degrees Celsius).
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