Natural gas futures on the Nymex closed up 2.8% at $3.233/mmBtu, buoyed by a weekly inventory report that fell at the bottom of analyst projections. The latest injection into storage facilities trailed the previous week’s 108 Bcf build, leaving the existing surplus stagnant.
In section Market Quotes
Utilities Rally as Investors Brace for Federal Reserve Rate Hikes
Utility sector shares climbed today as market participants recalibrated expectations for Federal Reserve policy. The shift follows the central bank’s decision to maintain current interest rates during the first meeting chaired by Kevin Warsh, prompting investors to anticipate a potential rate increase as the next tactical move in the cycle.
Andy Huenefeld of Pinebrook Energy Advisors attributed the shift to a surge in air-conditioning usage across major population hubs. This seasonal demand spike served as the primary catalyst for an implied tightening of 5 Bcf per day. Huenefeld expects storage builds to continue trending downward as temperatures climb toward the annual summer peak, sustaining upward pressure on prices.
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