2026.01.2605:41:58UTC+00US Natgas Tops $6 on Cold Wave

U.S. natural gas futures experienced a substantial increase, soaring over 17% on Monday. This rise pushed prices above $6 per MMBtu for the first time since December 2022. The catalyst for this surge was a historic winter storm that swept across the nation, severely disrupting supply and significantly boosting demand for heating. The extreme weather conditions led to an offline status for nearly 10% of U.S. natural gas production, coinciding with a spike in residential heating and power generation requirements. Electricity demand is projected to hit record levels for winter due to the intense cold, prompting power grid operators in the U.S. to urge power generators to ensure they have sufficient natural gas supplies throughout the week. Consequently, the flow of gas to U.S. liquefied natural gas export facilities has decreased to its lowest level in a year. The rally on Monday followed dramatic gains from the previous week, with U.S. natural gas prices increasing by approximately 70%, representing the most significant weekly rise in over 30 years.