Natural gas prices jump nearly 20% as US braces – Business News
Natural gas prices jumped Tuesday as the US braced for a spike in heating demand forward of a cold entrance this week.
Prices rose more than 17%, or roughly 46 cents, to $3.16 per million British thermal models by about 1:30 p.m. ET – setting natural gas futures on observe for its best day in 4 years.
The futures contract for supply of natural gas in February 2026 on the New York Mercantile Exchange additionally jumped over 23% to $3.83.
Natural gas prices jumped Tuesday as the US braced for a spike in heating demand forward of an anticipated cold entrance this week. Paul Martinka
Demand for natural gas – which is primarily used for heating and electrical energy – is anticipated to spike this week as New York and the remainder of the nation are hit with its coldest air thus far this winter.
In the New York City space, temperature highs had been within the 20s and lows had been within the teenagers with the potential for snowfall over the weekend.
That got here amid public pushback in opposition to Con Edison’s latest proposal to raise electrical energy prices by more than 12% over three years. Natural gas prices could be raised 10% by 2028 — drawing anger from native leaders in New York City and Westchester.
A winter storm was anticipated to convey heavy snow, thick sleet, freezing rains and ice to the southern Rockies, the Plains and the South by Friday, transferring over towards the East Coast by means of the weekend, in keeping with the National Weather Service.
“Frigid weather is set to reshape the near-term natural gas outlook as Arctic air masses flash across the eastern US and the huge weather demand gain over the MLK weekend threatens severe market dislocation,” EBW Analytics mentioned in a observe Tuesday.
Demand for natural gas is anticipated to spike this week as New York and the remainder of the nation is hit with its coldest air thus far this winter. Christopher Sadowski
In the New York City space, temperature highs had been within the 20s and lows had been within the teenagers with a potential for snowfall over the weekend. LP Media
“The frigid weather pivot comes with speculator short positions at a 14-month high — suggesting further bullish risks as shorts are forced to buy back gas,” the group continued.
“Volatility will stay high, however – and any weather model warming into mid-February could allow a near term price spike to eventually soften.”
