US natural gas jumps nearly 5% against weaker oil as short-term supply tightens
đ„ October NYMEX natural gas futures settled 4.55% higher at $2.965/MMBtu on September 22, marking the strongest daily gain since early August. The move contrasted with weaker crude oil, showing that US gas was reacting mainly to domestic supply-demand factors.
đ Lower 48 output fell to around 109.8 Bcf/d, while September LNG feedgas remained near 18 Bcf/d. Residential and commercial demand also increased as a brief early-season cold spell lifted heating needs.
đ However, September production remains elevated overall and inventories are still above the five-year average. The rally therefore looks more like short-term tightening and short covering than confirmation of a new structural bull cycle.
đ Markets will now watch the September 24 EIA storage report for evidence that the supply-demand balance is tightening more sustainably.
#NaturalGas $NATGAS
đ„ October NYMEX natural gas futures settled 4.55% higher at $2.965/MMBtu on September 22, marking the strongest daily gain since early August. The move contrasted with weaker crude oil, showing that US gas was reacting mainly to domestic supply-demand factors.
đ Lower 48 output fell to around 109.8 Bcf/d, while September LNG feedgas remained near 18 Bcf/d. Residential and commercial demand also increased as a brief early-season cold spell lifted heating needs.
đ However, September production remains elevated overall and inventories are still above the five-year average. The rally therefore looks more like short-term tightening and short covering than confirmation of a new structural bull cycle.
đ Markets will now watch the September 24 EIA storage report for evidence that the supply-demand balance is tightening more sustainably.
#NaturalGas $NATGAS
