Forecasts Fail to Impress as Natural Gas Futures Resume Slide Early

With updated forecasts failing to deliver the kind of winter chills needed to shake off bearish sentiment, natural gas futures floundered in early trading Tuesday. 

Giving back substantially all of the prior session’s 20.0-cent gain, the February Nymex contract was off 19.4 cents to $3.716/MMBtu at around 8:50 a.m. ET.

The American weather model shed 11 heating degree days overnight, while the European dataset saw no major change in terms of degree days, according to NatGasWeather.

“Most important, the overnight weather data maintained near record warmth over the U.S. the next 13 days for exceptionally light demand but held a colder pattern arriving Jan. 24-26,” the firm said. However, “it clearly isn’t cold enough to intimidate.”

Prices rallied Monday as model...