U.S. natural gas futures gained 1.1% to $2.638/mmBtu on Friday as traders focused on the Energy Information Administration’s (EIA) weekly storage report, due at 10:30 a.m. ET. Analysts surveyed by the Wall Street Journal expect underground gas storage inventories to rise 1,962 billion cubic feet (Bcf), extending the surplus to 100 Bcf from 87 Bcf last week. This would mark a third consecutive weekly build, signaling weak demand amid unseasonably warm weather.

The $2.638/mmBtu level is near multi-month highs, reflecting market anticipation for the EIA data. 51 Bcf would represent the largest weekly increase since February, according to the report. Traders are closely monitoring whether the surplus will exceed 100 Bcf, a threshold that could impact pricing power for producers and utilities.

Weather remains a key factor, with temperatures too mild for heating demand and not yet hot enough for cooling use. The EIA’s weekly storage report at 10:30 a.m. ET will likely drive further volatility, as investors weigh implications for supply and demand dynamics. Market analysts note that sustained storage growth could pressure prices despite current $2.638/mmBtu levels.

This storage data release comes amid ongoing debates over regulatory impacts and infrastructure investments. Natural gas futures traders are adjusting positions ahead of the report, with $2.638/mmBtu serving as a critical benchmark. Key entities like the EIA and Wall Street Journal provide essential context for market participants navigating this energy market shift.