Why Natural Gas Prices Just Notched A 5th Straight Weekly Gain
Natural gas futures on Thursday posted a gain for the holiday-shortened week, their fifth weekly climb in a row, with prices for the fuel settling at their highest in close to 14 years.
The front-month May contract for natural gas NGK22, +4.63% settled at $7.30 per million British thermal units on Thursday, up 30 cents, or 4.3% for the session. Prices for the week posted a gain of more than 16%, according to Dow Jones Market Data.
Most financial markets will be closed on Good Friday, including energy trading on the New York Mercantile Exchange.
Thursday’s settlement was the highest for a front-month contract since October 2008, and the five-week climb was the longest such stretch of gains since October 2021.
The catalyst behind this week’s rally in natural gas has been a “late season blast of cold weather making its way across the country,” boosting demand for heating in many parts of the nation, said Tyler Richey, co-editor at Sevens Report Research. He also said a pipeline outage in Alabama took some natural-gas supply offline for an “indefinite amount of time,” contributing to the price climb.
Source: MarketWatch
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