DJ Natural Gas Rises on Hotter Weather
By Nicole Friedman
NEW YORK--Natural-gas prices rose to an eight-session high Monday as forecasts for above-normal temperatures in the
next two weeks boosted demand expectations.
Hot weather leads to higher demand for natural gas, as households and offices run their air-conditioning units.
Forecasts released Monday showed more hot weather in the next two weeks compared with prior forecasts, according to
Commodity Weather Group LLC.
Futures for September delivery settled up 4.4 cents, or 1.6%, to $2.842 a million British thermal units on the New
York Mercantile Exchange, the highest settlement since July 29.
Robust production has kept the market oversupplied in recent weeks, even as hot temperatures have increased demand,
keeping the market in a relatively narrow trading range between $2.70/MMBtu and $2.95/MMBtu.
"There's not an overwhelming driver upcoming for either bears or bulls that would be strong enough to break out of
this range," said Aaron Calder, analyst at Gelber & Associates, in a note.
Write to Nicole Friedman at nicole.friedman@wsj.com
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(END) Dow Jones Newswires
August 10, 2015 16:25 ET (20:25 GMT)
Copyright (c) 2015 Dow Jones & Company, Inc.
081015 20:25 -- GMT
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