NEW YORK: US natural gas futures dipped over 1% on Tuesday on forecasts for less hot temperatures that would reduce gas usage for air conditioning, although losses were capped by lower production estimates.
Front-month gas futures fell 6.5 cents, or 1.7%, to $3.684 per million British thermal units at 10:10 a.m. EDT (1410 GMT), after closing at $3.749 per mmBtu in the last session, their highest close since December 2018.
“Prices have come down today based on weaker weather forecasts early this week and expectations for strong storage injections (relative to historical averages) in coming weeks,” Daniel Myers, market analyst at Gelber & Associates in Houston, said.
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