U.S. Natural Gas Futures Rise on Short-Covering, Summer Demand
U.S. Natural Gas Futures Settle Higher
U.S. natural gas futures settled higher, aided by short-covering as the Nymex June contract expires and summer approaches. Weather patterns are heating up around the country and the market is pricing accordingly.
Trader Insights
Long-time natural gas trader John Woods said the price reflects market sentiment and the logic of going into summer with increased consumption. "We're going to be around $3.25 probably mid- to late June," he noted.
Price Action
The June contract expired at $3.04/mmBtu, up 5% on the day. Natural gas for July delivery rose 2.8% to $3.095/mmBtu. The rally was driven by expectations of higher summer demand.
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