Natural Gas Prices Reach Five-Month High

U.S. natural gas futures surged about 4% to a five-month high due to forecasts for colder weather that are expected to increase heating demand ahead of the Thanksgiving holiday. The front-month gas futures for December delivery rose to $3.102 per million British thermal units, marking a potential fourth consecutive daily gain. Additionally, gas flows to U.S. liquefied natural gas (LNG) export plants are projected to reach a 10-month high, with record feedgas levels at the Plaquemines plant in Louisiana. Despite lower production levels, which have decreased from October, rising electricity output is expected to further boost natural gas demand. Analysts anticipate a significant increase in natural gas inventories ahead of the upcoming weekly report, though current storage levels are already above the five-year average. Overall, the market is closely watching weather patterns and inventory reports as they could significantly influence future price movements.