Investing.com - U.S. natural gas futures regained strength on Monday, as investors returned to the market to seek cheap valuations after prices fell to the lowest level in five weeks.
On the New York Mercantile Exchange, natural gas for delivery in October climbed 1.36%, or 5.1 cents, to trade at $3.845 per million British thermal units during U.S. morning hours.
Natural gas futures fell to a session low of $3.767 earlier, a level not seen since August 4.
Futures were likely to find support at $3.725 per million British thermal units, the low from July 28 and resistance at $3.917, the high from September 3.
Cooler temperature will make their arrival over parts of the U.S. in the coming days and likely curb demand for air conditioning, prompting thermal power plants to burn less of the commodity due to reduced demand.
Meanwhile, the U.S. Energy Information Administration said in its weekly report on September 4 that natural gas storage in the U.S. rose by 79 billion cubic feet last week, compared to expectations for an increase of 73 billion cubic feet.
The five-year average change for the week is a build of 56 billion cubic feet.
Injections of gas into storage have surpassed the five-year average for 20 consecutive weeks, alleviating concerns over tightening supplies.
Total U.S. natural gas storage stood at 2.709 trillion cubic feet as of last week, narrowing the deficit to the five-year average to 15.4% from 17% a week earlier and down from a record 54.7% at the end of March.
Elsewhere on the Nymex, crude oil for delivery in October tumbled 1.31%, or $1.22, to trade at $92.07 a barrel, while heating oil for October delivery shed 0.79% to trade at $2.797 per gallon.