Natural gas futures advanced on Monday as U.S. liquefied natural gas (LNG) demand strengthened and Hurricane Sally barreled to the Gulf of Mexico (GOM), compelling production shut-ins.

Evening markets

The October Nymex contract climbed 4.1 cents day/day and settled at $2.310/MMBtu. November, however, declined four-tenths of a cent to $2.740.

Spot gas prices jumped as temperatures sizzled out West. NGI’s Spot Gas National Avg. rose 22.5 cents to $1.910.

Forecasters said Sally could strike the coasts of Mississippi and Alabama on Tuesday, while the southeast coast of Louisiana was also susceptible. The storm is expected to bring heavy rains and a potentially lethal storm surge less than three weeks after Hurricane Laura caused extensive damage in Louisiana, knocking out power and forcing key...