Weekly natural gas cash prices snapped a May losing streak, bolstered by expectations that production will scale back in the coming weeks and months.

NGI’s Weekly Spot Gas National Avg. for the May 15-19 period rose 33.5 cents to $2.050/MMBtu. The average had declined each of the two previous weeks amid pleasant weather.

Weather conditions remained bearish over the past week – too mild to generate either heating or cooling demand in most regions. However, a May 12 Baker Hughes Co. (BKR) report showed natural gas-directed rigs dropped by 16 to 141 in the second week of this month, marking the biggest decline since 2016. The change pointed to a slowdown in production ahead of the inevitable rise in demand this summer. It sparked a futures rally that also undergirded cash...