The weather doesn’t always follow traders’ hopes and expectations. However, it sometimes exceeds them. December and January saw a surge in natural gas prices in Asia as a cold spell caused a boom in electricity and heating demand. Now, U.S. gas prices are also enjoying an improvement, albeit a lot more moderate than the $30 per mmBtu the Asian spot market saw last month. The front-month Henry Hub contract for natural gas topped $3 this week after the first Nor’easter for the year brought snow and low temperatures to the U.S. Northeast. What’s more, the cold spell may last a while, keeping prices higher. “The extension of cooler weather forecasts today underscores the weather volatility’s current capacity to drive rising demand for natural gas,” said gas consultancy Gelber & Associates, as quoted by “Nearly 75-80 Bcf of natural gas demand is expected to have been added as a […]