Investing.com - Natural gas prices rose in U.S. trading on Tuesday as weather forecasts continued to call for above-normal temperatures for much of the U.S. next week.
In the New York Mercantile Exchange, natural gas futures for delivery in July traded at USD4.024 per million British thermal units, up 0.81%.
The commodity hit a session low of USD3.966 and a high of USD4.032.
Weather forecasting models called for above-normal temperatures for a large swathe of the south central U.S. through mid-June.
Hotter temperatures send prices rising on sentiments that demand for natural gas will increase at the country's thermal power plants as businesses and households power their air conditioning units.
Meanwhile, recent calls for below-normal temperatures across parts of the eastern U.S. began to fade, which gave the commodity even more room to rise.
Investors kept an eye on U.S. supply levels.
The U.S. Energy Information Administration said last week that natural gas storage in the U.S. rose by 88 billion cubic feet.
Inventories rose by 72 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a rise of 92 billion cubic feet.
Total U.S. natural gas storage stood at 2.141 trillion cubic feet as of last week, 4% below the five-year average for this time of year.
Early injection estimates for this week’s storage data range from 78 billion cubic feet to 95 billion cubic feet, compared to a 63 billion cubic feet increase during the same week a year earlier.
The five-year average for the week is a build of 92 billion cubic feet.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in July were up 0.43% and trading at USD93.85 a barrel, while heating oil futures for July delivery were up 1.27% at USD2.8693 per gallon.
In the New York Mercantile Exchange, natural gas futures for delivery in July traded at USD4.024 per million British thermal units, up 0.81%.
The commodity hit a session low of USD3.966 and a high of USD4.032.
Weather forecasting models called for above-normal temperatures for a large swathe of the south central U.S. through mid-June.
Hotter temperatures send prices rising on sentiments that demand for natural gas will increase at the country's thermal power plants as businesses and households power their air conditioning units.
Meanwhile, recent calls for below-normal temperatures across parts of the eastern U.S. began to fade, which gave the commodity even more room to rise.
Investors kept an eye on U.S. supply levels.
The U.S. Energy Information Administration said last week that natural gas storage in the U.S. rose by 88 billion cubic feet.
Inventories rose by 72 billion cubic feet in the same week a year earlier, while the five-year average change for the week is a rise of 92 billion cubic feet.
Total U.S. natural gas storage stood at 2.141 trillion cubic feet as of last week, 4% below the five-year average for this time of year.
Early injection estimates for this week’s storage data range from 78 billion cubic feet to 95 billion cubic feet, compared to a 63 billion cubic feet increase during the same week a year earlier.
The five-year average for the week is a build of 92 billion cubic feet.
Elsewhere on the NYMEX, light sweet crude oil futures for delivery in July were up 0.43% and trading at USD93.85 a barrel, while heating oil futures for July delivery were up 1.27% at USD2.8693 per gallon.