US natgas prices ease on forecasts for lower demand after heatwave

NEW YORK: US natural gas futures eased about 1percent on Wednesday with the approach of milder, more spring-like weather over the next week or so and the long Memorial Day holiday weekend, which together should depress gas demand, after a heatwave blasted the Mid-Atlantic region so far this week.

In addition, analysts said gas prices were down following a 4percent drop in oil prices after US President Donald Trump again asserted that the war in Iran would end “very quickly”. After rising for five days in a row, front-month gas futures for June delivery on the New York Mercantile Exchange fell 3.6 cents, or 1.2percent, to USD3.078 per million British thermal units (mmBtu). On Tuesday, the contract closed at its highest since March 19.

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 4. Temperatures in Washington, D.C., were on track to hit 96 degrees Fahrenheit (35.6 degrees Celsius) on Wednesday after hitting a record-breaking 97 F on Tuesday before dropping to 70 F on Thursday and 61 F on Friday and Saturday, according to weather forecaster AccuWeather.