Nearby natural gas futures resumed their march higher on Thursday following a one-day pullback. The December 2026 NYMEX contract added 13 cents to settle near $3.34 per MMBtu, marking the highest daily settlement for any prompt-month contract since June. Prices extended to new highs in after-hours trading following settlement. Gains were less pronounced further out the curve, with the balance-of-Winter 2026-27 strip increasing by 8 cents to finish near $3.24 per MMBtu, while contracts beyond March 2027 were little changed on the day.
Near-term forecasts continue to show a brief period of cooler-than-normal weather, which is expected to drive the strongest residential and commercial heating demand of the season to date. This will likely be sufficient to shift the market toward a net storage withdrawal for the week ending November 20. Entering the month, most forecasts pointed toward net storage additions extending deep into November, but the recent shift toward cooler temperatures has accelerated expectations for the first withdrawal of the season. While this is unlikely to materially change peak storage levels, it has helped shift market sentiment in a bullish direction as the heating season gets underway.
An archive of Daily Natural Gas Market Notes can be found here.