Investing.com - Natural gas prices turned sharply lower on Tuesday amid expectations that forecasts for cooler weather would dampen demand at the nation's power plants.
On the New York Mercantile Exchange, natural gas futures for delivery in October tumbled 3.19% to $3.936 per million British thermal units during U.S. trading.
Updated weather forecasting models indicated that hotter weather in the Midwest and East over the next number of days would give way to more moderate temperatures from September 6.
Natural gas prices jumped higher last week, rising above the $4 level for the first time since mid-July as higher-than-average temperatures bolstered the demand outlook.
Supplies also remained in focus.
The U.S. Energy Information Administration reported last Thursday that inventories rose 75 billion cubic feet to 2.63 trillion in the week ending Aug. 22, falling short of expectations for a build of 78 billion.
Gas stockpile gains have outpaced the five-year average for 19 consecutive weeks as the U.S. experienced cooler temperatures over the period from June through August.
Elsewhere on the NYMEX, crude oil futures for delivery in October fell 1.29% to $94.69 a barrel, while heating oil futures for October delivery were down 1.19% to $2.8256 per gallon.