September Nymex natural gas futures settled slightly higher on Wednesday, closing up 0.006 dollars or 0.22 percent, as forecasts for warmer US weather pointed to increased air-conditioning demand. The Commodity Weather Group said forecasts shifted warmer, with above-average temperatures expected across the Western US through August 14. Gains were limited by expectations for a larger-than-normal weekly storage build, with consensus for Thursday's EIA report to show a 30 billion cubic feet increase, above the five-year average of 23 billion cubic feet. Prices also faced headwinds from Energy Transfer's announcement that the Hugh Brinson pipeline will reach full capacity of 1.5 billion cubic feet per day by September 1, boosting domestic supplies. US dry gas production on Wednesday was 111.4 billion cubic feet per day, up 2.6 percent year-over-year, while lower-48 gas demand was 81.4 billion cubic feet per day, up 8.4 percent year-over-year, according to BNEF.
Energy Transfer LPHugh Brinson pipeline reaching full capacity boosts domestic supplies, pressuring prices.
Energy Transfer Partners L.PHugh Brinson pipeline reaching full capacity boosts domestic supplies, pressuring prices.
