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Natural gas futures for December delivery rose as much as 20% to $4.929 per MMBtu on NYMEX, the largest gain in nine years and the highest since February 2014. Forecasts of lingering U.S. cold raised concern that stockpiles, already at a 15-year seasonal low, may not meet winter demand.
Trading volume ran about three times the 100-day average.
Tight storage combined with colder winter outlooks pushes up heating-fuel costs and the energy cost of feed processing, and it tightens the energy-linked cost base for feed producers. Gas-driven drying and ethanol-related energy costs can feed through to DDGS and corn pricing.
energynow.comNov 14, 2018, by Christine Buurma and Rachel Adams-HeardNov 15, 2018After 221 past bullish weather events, Natural Gas moved a median +3.3% over 5 sessions (61% higher; middle half -5.2% to +14.0%), and -0.3% over 20.
Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
