Aside from moderating premiums in western markets, natural gas forwards marched higher during the June 10-16 trading period. Supply risks served to push July Nymex prices higher, while technical factors and a somewhat cooler look to the weather picture toward the back half of June helped limit gains.

July fixed prices at Henry Hub surged 10.4 cents to $3.254/MMBtu during the period. Supply concerns, including revelations that the Texas Eastern Transmission Co. system could endure prolonged restrictions on flows out of the Northeast, provided the catalyst to send Nymex futures surging over the past week. 

Pacific Gas and Electric Co.’s (PG&E) announcement to reclassify a sizable 51 Bcf chunk of its inventories from working gas into base gas similarly drove bullish sentiment...