NYMEX Natural Gas Futures Contract With the February 2023 contract expiring last Friday, today marked the first day of March 2023 trading as the prompt month NYMEX natural gas contract. Weather continued to revise warmer on a global scale both domestically and in Europe, causing prices to further crater. The prompt month contract settled down US$0.172/MMBtu at $2.677 with the rest of the curve following suit.
Market Fundamentals Although cold weather has emerged for this week, temperatures are expected to return to normal around this weekend, further eating away at any expected natural gas demand. Following a tight 2022, a lot has changed. From storage shortages to a now rising storage surplus, rising production levels, and low weather volatility, prices will look to sit at these current lows with the potential to fall lower. ~CL