US Natgas Prices Hold Decline

US natural gas prices hovered around $3.15 per MMBtu after falling more than 3% in the previous session, weighed down by abundant inventories and cooler weather pointing to softer demand. Weather forecasts indicate below-average temperatures across the Mid-Atlantic region between June 23 and 27, likely curbing air-conditioning-driven power demand. The cooler outlook follows a mild spring that enabled energy companies to build larger-than-usual gas inventories, with stockpiles currently around 5.8% above normal. In addition, recent maintenance-related reductions in gas flows to US LNG export terminals have redirected more supply to the domestic market. This added availability has more than offset a slight dip in production, with output in the Lower 48 states slipping to 109.5 bcfd so far in June from 109.7 bcfd in May.