Natural Gas Futures Bounce Back as Cold Seen Possibly Lingering into Late Month; Cash Up

Natural gas futures staged a stunning recovery Monday as one of the major weather models added a huge chunk of demand to the late-February forecast. The March Nymex gas futures contract settled on the higher end of its trading range at $4.195/MMBtu, up 25.4 cents from Friday’s close. April jumped 22.5 cents to $4.160.

At A Glance:

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

Spot gas prices also strengthened as frigid temperatures continued to drive up heating demand across the eastern United States. NGI’s Spot Gas National Avg. climbed $1.040 cents to $5.670.

The latest cold blast that hit the eastern United States this weekend is already its nearing its end, with temperatures set to rise by midweek ahead of another winter storm....