DJ Falling Temperatures Lift Natural Gas
By Ryan Dezember
Fresh forecasts landed on energy traders' desk this morning calling for even colder weather over the next two weeks than originally expected, sending natural-gas prices above $3 per million British thermal units for the first time since November.
Traders are wagering that an arctic blast from western Canada will spread far enough east to set furnaces blazing in cities along the Great Lakes and East Coast. That could burn up enough gas to reduce the risk of a big spring glut (https://www.wsj.com/articles/wintry-weather-lifts-natural-gas-prices-11612190731) and set the stage for a larger rally.
The move above $3 "strongly suggests additional price strength that could eventually carry into the $3.30-3.40 zone," trading advisor Ritterbusch and Associates told clients Friday morning.
NOTE: In-line links reference additional content of interest chosen by the WSJ news team.
This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).
(END) Dow Jones Newswires
February 05, 2021 10:18 ET (15:18 GMT)
Copyright (c) 2021 Dow Jones & Company, Inc.