Investing.com - Natural gas futures soared on Thursday, after data showed U.S. natural gas supplies in storage fell more than expected last week, as cold weather boosted demand.
Natural gas for delivery in February on the New York Mercantile Exchange jumped 10.5 cents, or 4.61%, to trade at $2.372 per million British thermal units as of 15:35GMT, or 10:35AM ET. Prices were at around $2.319 prior to the release of the supply data.
The U.S. Energy Information Administration said in its weekly report that natural gas storage in the U.S. in the week ended January 1 fell by 113 billion cubic feet, more than expectations for a decline of 99 billion.
That compared with a drawdown of 58 billion cubic feet in the prior week, 116 billion cubic feet in the same week last year, while the five-year average change for the week is a drawdown of 129 billion cubic feet.
Total U.S. natural gas storage stood at 3.643 trillion cubic feet, 14.7% higher than levels at this time a year ago and 12.7% above the five-year average for this time of year.
A day earlier, natural gas prices dropped 5.8 cents, or 2.49%, as weather forecasts showed that mild weather will return to the U.S. east coast in the coming week.
The heating season from November through March is the peak demand period for U.S. gas consumption.
Elsewhere on the Nymex, crude oil for delivery in February shed 22 cents, or 0.65%, to trade at $33.75 a barrel, while heating oil for February delivery tacked on 0.65% to trade at $1.088 per gallon.