U.S. natural gas futures jumped about 7% to a nine-month high on Tuesday on forecasts for colder weather and higher heating demand over the next two weeks than previously expected. Futures “are seeing large gains today after sudden cold weather yesterday in the Midwest and Northeast drove demand much higher than normal for this time of year,” analysts at energy consulting firm Gelber and Associates said in a note.
Front-month gas futures for December delivery on the New York Mercantile Exchange rose 22.3 cents, or 6.7%, to settle at $3.575 per million British thermal units (mmBtu), their highest since Jan. 17. That also kept the front-month in technically overbought territory, with a relative strength index (RSI) over 70, for a second day in a row for the first time since mid-October.
Touchstone Exploration Inc (LON:TXP) is a Canadian-based, international upstream oil and gas company currently active in the Republic of Trinidad and Tobago. Primera Oil and Gas is the Trinidadian subsidiary of Touchstone.