MANTHANTIPS:- U.S. natural gas futures fall for 4th straight session
U.S. natural gas futures fell for the fourth session in a row on Tuesday, touching a more than one-week low as forecasts for less hot weather in the days ahead dampened demand expectations for the cooling fuel. Natural gas for delivery in September on the New York Mercantile Exchange slumped to a daily low of $2.671 per million British thermal units, a level not seen since July 28. It was last at $2.677 by 14:30GMT, or 10:30AM ET, down 7.1 cents, or 2.58%. On Monday, prices sank 2.4 cents, or 0.87%, as traders reacted to milder weather and the reality that higher summer demand for the commodity is coming to an end. Demand for natural gas tends to rise in the summer months as warmer temperatures increase the need for gas-fired electricity to power air conditioning. Meanwhile, market players looked ahead to weekly supply data due on Thursday, which is expected to show an increase in a range between 17 billion and 30 billion cubic feet of gas in the week ended August 5. That compares with a surprise drop of 6 billion cubic feet in the preceding week, 65 billion a year earlier and a five-year average of 53 billion cubic feet. Total U.S. natural gas storage currently stands at 3.288 trillion cubic feet, according to the U.S. Energy Information Administration, 11.8% higher than levels at this time a year ago and 14.1% above the five-year average for this time of year.