After crashing Thursday through major $2.000/MMBtu support, March Nymex natural gas futures extended losses in the week’s closing session, retreating 7.0 cents day/day and closing at the lowest level in more than three years.

At A Glance:

  • March futures hits fresh lows
  • Storage overhang seen widening
  • Cash pressured by lack of demand

The front-month contract settled at $1.847 on Friday, a level last seen in July 2020, after retracing some earlier losses that took March futures as low as $1.817.

NGI’s Spot Gas National Avg. also tripped lower, slipping 1.0 cent to $1.750. While weekend inclusion and mostly mild weather conditions pressured values, cooler weather expected in the country’s midsection supported some regional price gains. 

Natural gas futures weakness...