Persistent production weakness, blistering domestic heat and robust demand for U.S. LNG converged on Wednesday to ignite a fresh natural futures rally. The August Nymex contract climbed 52.6 cents day/day to close at $6.689/MMBtu. September rose 56.8 cents to $6.589.

At A Glance:

  • Cooling demand holds strong across the U.S.
  • European supplies remain under pressure
  • Analysts see seasonally solid storage injection

NGI’s Spot Gas National Avg. failed to follow suit, however. It fell 19.0 cents to $6.630 as prices in the South and West pulled back following outsized gains earlier in the week.

Amid a spate of maintenance-related interruptions, production dipped below 94 Bcf on Tuesday – from recent highs near 96 Bcf – and did not budge in estimates Wednesday. This raised...