Investing.com - U.S. natural gas futures were lower on Tuesday, pulling back after hitting a two-week high amid colder forecasts for the end of January.
Natural gas for February delivery on the New York Mercantile Exchange rallied nearly 2.7% to a session high of $3.513 per million British thermal units, a level not seen since January 3.
It was last at $3.396 by 10:25AM ET (15:25GMT), down 2.3 cents, or around 0.7%. Markets in the U.S. were closed Monday for a public holiday.
Natural-gas markets have been volatile in recent weeks, changing course rapidly in response to shifting outlooks in short-term weather patterns.
Prices typically rise during the winter as colder weather sparks indoor-heating demand. About half of U.S. homes use natural gas for heating.
Meanwhile, market participants looked ahead to weekly storage data due on Thursday, which is expected to show a draw in a range between 220 and 230 billion cubic feet in the week ended January 13.
That compares with a withdrawal of 151 billion cubic feet in the preceding week, 178 billion a year earlier and a five-year average drop of 170 billion cubic feet.
Total natural gas in storage currently stands at 3.160 trillion cubic feet, according to the U.S. Energy Information Administration, 10.3% lower than levels at this time a year ago and around 0.1% below the five-year average for this time of year.