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US Natural Gas Falls for 7th Straight Week on Inventory Builds, Milder Weather Outlook

-- US natural gas futures posted another weekly decline amid soaring inventories, steady production, and milder weather forecasts.

The front-month contract price fell over the week to $2.52 per million British thermal units, from $2.68/MMBtu on April 17.

US natural gas prices have continued a downward trend into a seventh straight week, with the last weekly gain seen on March 6.

The week began on a bullish note. Prices surged on Monday, supported by a dip in output and fresh uncertainties surrounding the US peace deal with Iran as the ceasefire nears an end.

However, prices witnessed a sharp pullback over the rest of the week, as forecasts of high injections into inventory, along with mild weather conditions, took a toll on the market.

For the week ended April 22, the May 2026 Nymex contract was down $0.11 at $2.61/MMBtu, compared with $2.72/MMBtu the prior week, the Energy Information Administration's Weekly Gas Storage Supplement said.

Natural gas spot prices rose by $0.01/MMBtu to $2.76/MMBtu during the week ended April 22, according to the EIA, from $2.75 per MMBtu last week.

This was attributed to a 4%, or 2.3 billion cubic feet per day, increase in total US domestic natural gas demand, compared to the prior week, along with a 10% rise in residential and commercial consumption.

The Henry Hub price remained the highest recorded across all major pricing hubs in the US, on Wednesday, the EIA reported.

Temperatures across the country were largely normal, ranging from 40 degrees Fahrenheit to 80 degrees Fahrenheit during the week.

The EIA posted a net injection of 103 Bcf into storage for the week ended April 17, up from a net injection of 59 Bcf the previous week, bringing total gas inventories to 2,063 Bcf.

During the same week last year, the EIA reported a net injection of 77 Bcf, while the five-year average for this period was an injection of 64 Bcf. This week's figures were also above the 96 Bcf forecast, according to data compiled by Investing.com.

Total gas inventories at 1,970 Bcf are now 142 Bcf, or 7%, above the corresponding period a year ago, and 137 Bcf, or 7%, higher than the five-year average for this period.

All regions reported a net injection in working gas during the week ended Apr. 17, with South Central seeing the highest at 40 Bcf, with its total inventories now at 879 Bcf. The Midwest and East regions reported 33 Bcf and 26 Bcf, respectively.

Pinebrook Energy Advisors noted that the week's injection was the "largest on record for this early in the season," while attributing it to significantly lower weather-related demand during the period.

While weather conditions continued to remain mild throughout the past few weeks, forecasts have turned bullish recently, with nearly half of the country, in the Eastern, Central and Northern regions, expected to see below-normal temperatures from May 1-7, according to the National Weather Service.

A total of 35 liquefied natural gas-carrying vessels left US ports during the week, the same as the previous week, with a total capacity of 134 Bcf, up by 1 Bcf compared to the prior week.

In international markets, European TTF gas prices averaged $14.27/MMBtu for the week ended April 22, $0.96/MMBtu lower than the previous week.

The Japan-Korea Marker averaged $15.66/MMBtu, about $3.72/MMBtu lower than the prior week.

Meanwhile, the US gas rig count increased by four from 125 the previous week to 129, in the week ending April 24, according to data from Baker Hughes (BKR) released Friday. The US had 107 gas rigs in operation a year earlier.

The consolidated North American oil and gas rig count, a key early indicator of future production levels, rose by one to 674 from 673 the previous week.

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