No groundhogs were needed to convince natural gas traders that Old Man Winter was planning to stick around longer across the United States. A biting February forecast combined with strong storage withdrawals, potential supply disruptions and robust export demand to send March Nymex natural gas futures ballooning to $5.501/MMBtu, up 75.0 cents on the day. April surged 47.1 cents to $5.044.

At A Glance:

  • Short squeeze aids 75-cent rally
  • Storage concerns brewing
  • Cash gains mount as winter storm nears

Spot gas action was similarly volatile as intense heating demand was seen permeating the eastern half of the country for the next several days as temperatures plunge. Cash jumped more than $1.00 at most locations, with NGI’s Spot Gas National Avg. up $1.315 to $7.440.