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US Natgas Bounces Up 9% from 12 Month Low

NATGAS

Front month US Natgas extends gains to recover 9% today after falling 49% from mid Dec to a low of 3.57$/mmbtu on Friday.

    • US Natgas FEB 23 up 8.8% at 4.04$/mmbtu
  • Demand has held below normal so far in Jan but could start to increase as temperatures in the western US are forecast to fall back towards normal from the middle of the month.
  • The potential return of the 2bcf/d Freeport LNG export terminal at the end of this month could also add to the upside price pressure.
  • US gas storage levels recovered to near normal in the second half of 2022 but large draws at the end of December took levels back below normal again.

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