US natural gas falls more than 2% near $2.66/MMBtu
US natural gas prices drop more than 2% to around $2.66 per million British thermal units, hovering near three-month lows as inventory levels rise and LNG export flows ease, per EIA storage data and production trends.
66 per million British thermal units on Monday, hovering near three-month lows as robust production and comfortable inventory levels offset weather-driven demand. An EIA report showed energy firms injected 36 bcf of gas into storage in the week ended August 7, larger than expectations of a 31 bcf build and the five-year average increase of 33 bcf. 7 bcfd in July, keeping inventories above their five-year average since March. 2 bcfd in July, reducing the volume of gas processed for export and leaving more supply available to the domestic market.
However, hotter-than-normal weather is expected to persist through the end of August, likely prompting utilities to use more gas for power generation to meet cooling demand.