**Natural Gas Prices Rise Amid Cold Weather Forecasts**
On Wednesday, January Nymex natural gas futures closed at $4.03, up by 0.138 or 3.55%, following a shift in weather forecasts indicating cooler temperatures in the Eastern U.S. for the period of December 27-31. This anticipated change is expected to increase heating demand for natural gas.
As of the week ended December 12, the U.S. Energy Information Administration (EIA) predicts a significant inventory draw of 176 billion cubic feet (bcf), surpassing the five-year average draw of 96 bcf for this time of year. U.S. natural gas production is currently at a record high of 112.4 billion cubic feet per day (bcf/day), marking a 7.4% increase year-over-year. In contrast, lower-48 gas demand reached 94.7 bcf/day, up 5.0% year-over-year.
