Natural gas futures advanced for a second day Wednesday, supported by oversold technical levels and forecasts “raising alarms” for the return of frigid air in the back half of February.

At A Glance:

  • Nymex posts another gain
  • National Avg. falls near $2
  • Lower 48 output at 104.6 Bcf/d

The March Nymex gas futures contract rose 2.3 cents to settle at $2.100/MMBtu. It touched an overnight low of $2.037 and a high of $2.158 before noon.

NGI’s Spot Gas National Avg. fell for a second day, down 16.0 cents to $2.085, its lowest level since late December.

The Nymex prompt-front month series is more than $1 off the January highs that preceded an Arctic blast. Since then, weather conditions have moderated and set up for what could be an exceptionally warm first half of February....