Friday, 1 April 2016

Natural-gas prices up over 14% in March, but the gains aren’t built to last

Natural-gas futures ended March with a more than 14% climb — the best monthly performance in more than two years — but the commodity likely won’t enjoy its newfound gains for very long.

Natural gas futures NGK16, -0.26% settled at $1.959 Thursday on the New York Mercantile Exchange, for a March gain of roughly 14.5%, according to FactSet. That was the largest monthly climb since January 2014, but they still lost about 16.2% for the quarter.

The market has likely seen its final weekly U.S. inventory decline ahead of the so-called injection season — the time of year when supplies of natural gas begin to rise.

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