Late-Summer Sizzler Boosts Natural Gas Demand

While the official start of Autumn lies just around the corner, Summer refuses to go away without a fight, as an unseasonably strong upper-level ridge sets up in the eastern half of the nation, making it feel like the change in seasons is still far away. Our forecast is about as hot as you will see it at this time of the year.

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natural gas commodity weather

This is resulting in quite the boost for natural gas demand, with multiple days of 10 or more Gas-Weighted Degree Days (GWDDs).

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natural gas commodity weather

The hottest days over the next week will actually be challenging daily GWDD records, and this is pushing our projected GWDD total for the month of September up the charts, not quite to last years level but among the hottest Septembers recorded in our dataset.

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natural gas commodity weather

Looking at the numbers for key cities across the nation, something new here at Bespoke, we find plenty of the 80s and 90s from the Midwest to the Mid-Atlantic and down into the South.

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natural gas commodity weather

While certainly not the only factor that has led natural gas prices higher over the last 2-3 weeks, it has, at the least, provided some tailwinds for the bulls, with prompt month prices around 50 cents off their early August lows.

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natural gas commodity weather

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