US natural gas futures hit 7-week high as East Coast heat lifts demand

NEW YORK: US natural gas futures climbed about 2percent to a fresh seven-week high on Tuesday on a drop in output in recent weeks and expectations that a heat wave this week along the East Coast will boost power demand for gas to keep air conditioners humming.

That price increase came despite forecasts for less gas demand over the next two weeks than previously expected due primarily to a drop in flows to liquefied natural gas (LNG) export plants to an expected 16-week low.

Front-month gas futures for June delivery on the New York Mercantile Exchange rose 5.2 cents, or 1.7percent, to USD3.076 per million British thermal units (mmBtu), putting the contract on track for its highest close since March 27 for a third day in a row.

That also put the front-month up for a fifth day and kept it in overbought territory for a second day in a row for the first time since January.

Financial group LSEG said average gas output in the US Lower 48 states fell to 109.3 billion cubic feet per day (bcfd) so far in May, down from 109.8 bcfd in April and a monthly record high of 110.6 bcfd in December 2025.

Meteorologists forecast the weather will remain mostly warmer than normal through June 3.

Temperatures in Washington, D.C., will reach a record-breaking 99 degrees Fahrenheit (37.2 degrees Celsius) on Tuesday and a record-tying 96 F on Wednesday, after topping out at 93 F on Monday, according to weather forecaster AccuWeather.