Natural gas futures rebounded a bit Tuesday as production declined and liquefied natural gas (LNG) demand held firmly above the 4.5 Bcf/d mark. After swinging in a roughly 10-cent range, the September Nymex gas futures contract settled at $2.171, up 1.8 cents. October climbed 2.4 cents to $2.311.

Evening markets

Spot gas prices continued to climb across most U.S. markets, with the Northeast leading the way and driving NGI’s Spot Gas National Avg. 8.5 cents higher to $2.035.

Though weather still rules the natural gas markets, Tuesday’s action along the futures curve was largely because of a sharp drop in Lower 48 production. Bespoke Weather Services said pipeline data pointed to a roughly 2 Bcf/d decline from Monday, although the firm expected some of the drop to be revised in the...