Natural gas futures found fresh footing on Tuesday, with the January contract rebounding in its first session as the front month on production drops, rising railroad strike fears and expectations for stronger demand in the month ahead.

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At A Glance:

  • Production falls to 97 Bcf/d
  • Forecasts for mixed demand
  • NGI models draw of 41 Bcf

After sliding 13.4 cents to start the week, January Nymex gas futures settled at $7.235/MMBtu on Tuesday, up 3.9 cents day/day. February gained 6.6 cents to $7.084.

The December contract rolled off the board Monday down 31.2 cents at $6.712.

NGI’s Spot Gas National Avg. spiked $1.065 on Tuesday to $7.510, sharply reversing course from a 30-cent loss Monday.

DTN’s weather data showed new bouts of cold and windy wintry conditions pushing from...