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Natural Gas Prices Rise Modestly Amid Regional Heating Demand

Wall Street Journal Markets •
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U.S. natural gas futures gained modestly Tuesday as late-season heating demand supported prices in the Midwest and eastern U.S., despite an otherwise bearish weather outlook. Nymex natural gas rose 1.9% to $2.854 per million British thermal units, reflecting limited upward pressure from weather patterns that are expected to be temporary.

NatGasWeather.com noted demand would be stronger if not for comfortable temperatures across much of the country. The forecaster added national demand will ease late this week into next week with "near perfect highs of 60s-80s" dominating most regions, limiting further price upside for natural gas contracts.

The modest price increase reflects a market balancing short-term regional demand against broader bearish weather forecasts. Market participants are closely watching how quickly the current heating demand in specific regions dissipates as more favorable weather spreads across the country. Traders anticipate natural gas prices may struggle to sustain gains through the end of the week without additional weather-related surprises.