The price of natural gas for delivery next month nosedived on Thursday as traders took profits after a massive four-day rally. The February Nymex gas futures contract settled at $4.270/MMBtu, down 58.7 cents day/day. March dropped 32.2 cents to $4.005.

Gas in Storage

At A Glance:

  • Production falls to 97 Bcf/d
  • Forecasts for mixed demand
  • NGI models draw of 41 Bcf

NGI’s Spot Gas National Avg., in contrast, continued to climb, gaining 89.0 cents to $6.450 on Thursday. The spike built on a 52.5-cent jump a day earlier.

The prompt month on Wednesday had soared 60.8 cents, capping a multi-session bull parade that took futures to a 2022 high near $5. Modest production levels, robust demand for U.S. exports of liquefied natural gas (LNG) and expectations for an extended bout of frigid weather...