U.S. natural gas futures fell for a sixth day as forecasts for unusually mild February weather signaled reduced demand for the heating fuel.
Natural gas futures gained for a sixth day in New York, rising to a 10-month high, on speculation that cold weather next week will boost demand for heating fuels.
The U.S. Northeast is expected to be warmer than normal through February before encountering another cold snap in March, according to Weather Services International .
Natural gas is trading in the tightest range in eight years as rising U.S. production pushes inventory levels close to last year’s record, undermining profit for traders who thrive on price swings.
The coming winter will probably be colder than average in the eastern U.S., creating a greater demand for heating fuels, according to forecasts that disagree over how bitter the weather will get.
The U.S. Midwest and Northeast will probably have above-normal temperatures from October through December, keeping natural gas prices lower as less energy is needed to heat the large eastern cities.
The following is a selection of the most important news affecting the oil market.
Natural gas futures rose, gaining for the first week in five, on speculation that an 9 percent price decline this year was enough to boost demand.
Natural gas is poised for a rally to $4.80 per million British thermal units this month, according to a technical analysis by Chris Kostas , a senior analyst at Energy Security Analysis Inc.
Natural gas futures were little changed in New York as forecasts showed milder weather, reducing demand for the heating fuel.
"Cold weather has incrementally increased gas prices and incrementally increased electric demand."
- Chris Kostas on Apr 22, 2013