DBT Bureau
Pune, 23 Oct 2025
Natural gas prices gained 1.66% to 305.5, supported by a sharp turn toward colder weather forecasts and expectations of higher heating demand through early November. Meteorologists revised their two-week outlook to near-normal temperatures from earlier warmer projections, fueling optimism for increased consumption. Production in the Lower 48 states dipped slightly to 106.5 billion cubic feet per day (bcfd) so far in October, down from 107.4 bcfd in September and 108.0 bcfd in August, while strong LNG feedgas demand continued to underpin the market. Gas flows to U.S. LNG export plants rose to 16.5 bcfd, marking a new monthly record, driven by robust overseas demand. US utilities added 80 billion cubic feet of gas into storage for the week ending October 10, close to expectations and slightly above the five-year seasonal average. Total inventories reached 3,721 Bcf — 0.7% higher than last year and 4.3% above the five-year norm, reflecting comfortable supply levels ahead of the winter season. The EIA projected both U.S. gas output and demand to hit record highs in 2025, with production estimated at 107.1 bcfd and consumption at 91.6 bcfd. LNG exports are also expected to rise to 14.7 bcfd in 2025 and 16.3 bcfd in 2026. Technically, the market is under short covering, with open interest falling 24.02% to 14,566 contracts while prices gained 5. Natural gas has support at 297.6 and 289.8, while resistance is seen at 312.6 and 319.8.
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