Forecasts are calling for much of the South and Southwest to see above-normal temps through the end of October. While natural gas inventories as of Oct. 7 were 5.4% above the five-year average, the Texas heat means if production levels don't rebound, we could go into the winter with a deficit compared to last year, says Tradition Energy's Gene McGillian.
Temps in the northeast this week are also likely to challenge upside records, but whether there's an en masse turning back on of A/Cs remains to be seen.
Natural gas is higher by 1.6% to $3.2970. UNG +1.1%