From Investing.com: 2024-12-19 05:52:00

Natural gas futures opened the week with a gap-down due to concerns of fewer production cuts in 2025. Despite hitting a low on Dec.16, prices remained in an upward trend with bullish sentiment from cold weather expectations on New Year’s Eve.

A bullish crossover formation by 9 DMA above the 20 DMA added to the positive outlook for natural gas futures, anticipating increased demand due to the cold weather forecast. However, a cautious approach to new permits and potential sanctions on Russia-based entities could impact prices.

President Donald Trump’s support for fossil fuel development and promise to end the moratorium on new LNG export permits in 2025 adds uncertainty to the natural gas market. Weather forecasts indicating milder temperatures in northwest Europe may provide relief from sharp inventory withdrawals.

The release of a study on the economic and environmental impacts of LNG exports, along with geopolitical tensions and weather forecasts, suggest that natural gas futures may experience volatility in the coming week. Competition from Asia for LNG and Russian flows could influence price movements.



Read more at Investing.com: Natural Gas: Mild Weather, Supply and Production Concerns Could Limit Price Surge