U.S. Natural Gas Surges to 3-Year High as Deep Freeze Hits December

U.S. natural gas futures spiked to their highest levels in nearly three years as models now show a frigid first half of December across the Lower 48. Several forecasters are also warning of a potential polar-vortex-driven Arctic blast event later this month, which could drive temperatures even lower.

Let’s begin with an unusual sight (for this time of year) of winter storm alerts across the Northeast on Tuesday morning.

NatGas futures are on track for their largest quarterly gain since the first quarter of 2022. Prices on Tuesday morning were trading near $5 per mmbtu, the highest level since December 2022. The rally is being fueled by a rapid shift toward colder early-December temperatures across the Midwest and East, which has boosted heating demand expectations.

Weather models turned colder across the eastern two-thirds of the country for Dec. 6 to 10, with additional cooling expected for Dec. 11 to 15. These forecasts merely reinforce expectations for a near-term spike in residential and commercial heating loads.

Meteorologist Ryan Maue warned on X that the stratospheric polar vortex over the North Pole is set for another warming event in about two weeks.

“It’s going to be a long, cold winter,” Maue noted in another post.
Meteorologist Judah Cohen stated, “IMO next PV stretch keeps cold train coming in Eastern US up to the holidays.”

Greta Thunberg’s sudden pivot to all things Palestine and Bill Gates’ open acknowledgment that much of the climate-crisis narrative was overblown only reinforce what’s becoming obvious: the climate-crisis narrative has collapsed like a house of cards. And with the Northeast already plunged into an early-season chill, spare us … we could certaintly use a little “global warming” right about now.

Source: Oilprice.com