Investing.com – U.S. gas futures were pressurized for that second day consecutively on Tuesday, falling near to a 1-week low following the latest U.S. weather model known as for mild temperatures within the next two days, that ought to reduce demand in that time.
U.S. gas for June delivery slumped 8. cents, or around 2.4%, to $3.269 per million British thermal units by 9:30AM ET (13:30GMT). Prices from the heating fuel dropped 7.5 cents, or around 2.2%, on Monday.
Gas prices have carefully tracked weather forecasts in recent days, as traders attempt to gauge the outcome of shifting outlooks on spring heating demand.
Gas use typically hits a periodic low with spring’s mild temperatures, before warmer weather increases interest in gas-fired electricity generation to power ac.
Nearly 50% of U.S. households use gas for heating.
Meanwhile, market participants looked ahead to weekly storage data due on Thursday, that is likely to show a build inside a range from 55 and 63 billion cubic ft within the week ended May 12.
That compares having a gain of 45 billion cubic ft within the preceding week, a rise of 73 billion last year along with a five-year average rise of 87 billion cubic ft.
Total gas kept in storage presently is 2.301 trillion cubic ft, based on the U.S. Energy Information Administration, 13.9% less than levels at the moment last year but 12.% over the five-year average with this season.