Natural gas futures bounced back on Thursday, bolstered by an anemic increase in inventories that pointed to a tight supply/demand balance and ignited concerns about adequate storage levels. The August Nymex contract spiked 9.2 cents day/day and settled at $3.688/MMBtu. September jumped 9.3 cents to $3.667.

EIA storage july 2

At A Glance:

  • EIA reports a 16 Bcf storage increase
  • Following Elsa, more cooling demand looms
  • Cash prices cruise amid western heat

NGI’s Spot Gas National Avg. advanced 10.5 cents to $3.525, led higher by strong demand in the West.

Prior to Thursday, the prompt month had declined each of the two previous sessions along with a retreat in global commodities. The August contract held in negative territory early Thursday as well, but it soared after the U.S. Energy...