Natural gas futures seesawed in trading Tuesday, jumping early on signs of waning production and strong cooling demand before dropping off as the day wore on amid a broader commodity selloff. The August Nymex gas futures contract ultimately settled at $6.163/MMBtu, down 26.3 cents day/day. September fell 29.8 cents to $6.021.

California Prices

At A Glance:

  • Production falls to 97 Bcf/d
  • Forecasts for mixed demand
  • NGI models draw of 41 Bcf

A day earlier, the prompt month mounted a 39.2-cent rally.

NGI’s Spot Gas National Avg. on Tuesday ticked up further, coming off a 73.0-cent surge Monday. The average advanced 3.5 cents to $6.820.

Cash prices and futures early in the day were fueled by what AccuWeather described as a dangerous heat dome that spanned much of the Lower 48, delivering highs...