Natural gas futures flopped to start the first full week of September as production held strong and forecasts pointed to waning cooling demand as the month wears on.  

NGI Storage Estimate

At A Glance:

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

Coming off a cumulative 9% gain over the course of last week, the October Nymex gas futures contract on Tuesday dropped 18.3 cents day/day and settled at $2.582/MMBtu.

NGI’s Spot Gas National Avg., in contrast, inched ahead 2.5 cents to $2.325 amid lingering heat in the South and East. Cash prices lost ground last week.

Production hovered near 102 Bcf/d, according to Bloomberg’s estimate Tuesday. That kept output near records just above that threshold.

At the same time, the weather outlook signaled an...