Natural gas futures probed higher early Friday as analysts pointed to tightness in the supply/demand balance following the latest round of government inventory data. The August Nymex contract was up 4.7 cents to $3.661/MMBtu at around 8:50 a.m. ET.

NGI Morning Natural Gas Price & Markets Coverage

The Energy Information Administration (EIA) on Thursday reported an injection of 55 Bcf into U.S. natural gas storage for the week ended July 9, on the high side of surveys that had clustered around a build in the upper 40s Bcf. The 55 Bcf result topped the year-earlier increase of 47 Bcf and the five-year average 54 Bcf injection.

The reported 55 Bcf injection indicates the market was roughly 3 Bcf/d tighter than the five-year average when compared to degree days and normal seasonality, according to Wood Mackenzie analyst Eric Fell....