Natural gas futures were rallying in early trading Wednesday as analysts pointed to tight fundamentals, while the looming Nymex prompt month contract expiration raised the possibility of volatile price action ahead. 

NGI Morning Natural Gas Price & Markets Coverage

The expiring June contract was up 36.2 cents to $9.158/MMBtu at around 8:45 a.m. ET. July was trading 35.4 cents higher to $9.190.

EBW Analytics Group observed a “burst higher” in liquefied natural gas (LNG) feed gas nominations overnight. After volumes had dropped to 12.0 Bcf/d as of Tuesday, LNG feed gas totals surged to 13.4 Bcf/d in the firm’s latest estimates early Wednesday.

“Trader positioning around today’s June contract options expiration and tomorrow’s final settlement is likely to dominate immediate-term trading, particularly later in the...