Natural gas futures found fresh footing on Friday, supported by expectations for an ongoing production pullback as well as economic vigor that continues to support industrial energy demand.

At A Glance:

  • Output holds under 100 Bcf/d
  • Inventory surplus narrows 
  • Weather forecast favors bears

The May Nymex gas futures contract gained 1.1 cents day/day and settled at $1.785/MMBtu, snapping a two-day losing streak and marking the third advance of the trading week.

NGI’s Spot Gas National Avg. dropped 23.5 cents to $1.250 ahead of a forecasted warm-up that is expected to dampen near-term demand.

Production hovered around 99 Bcf/d on Friday, according to Wood Mackenzie’s estimate, down about 1 Bcf/d from the prior seven-day average. This continued a downward slide that started...