US Natural Gas Futures Rise 2% Amid Near-Record LNG Export Flows.

US natural gas futures rose 2% on near-record LNG export flows. The increase in exports was driven by strong demand and favorable weather conditions. The surge in exports is expected to continue, with forecasts showing hot weather across most states in the coming weeks.

US natural gas futures surged by 2% on Wednesday, driven by near-record LNG export flows, according to Reuters. The increase in exports was primarily attributed to strong demand and favorable weather conditions. The surge in exports is expected to persist, with forecasts indicating hot weather across most states in the coming weeks [2].

The September Nymex gas contract, which was trading at $2.978/MMbtu as of 8:29 a.m. ET, fell by 3.2 cents in early Wednesday trading despite bullish LNG feed gas data and a supportive near-term weather outlook [3]. This drop was likely due to the market's anticipation of increased domestic demand and potential supply constraints.

The International Energy Agency (IEA) has forecasted that a surge in global LNG supply, led by the United States, will shift market dynamics by next year. However, this expansion could also create more price volatility in the Lower 48 due to increased domestic feed gas demand [1].

Cheniere Energy, a major player in the LNG market, recently announced significant capacity expansions and new trade commitments with the European Union. These developments are expected to boost US LNG exports to Europe, further increasing global demand and potentially impacting domestic prices [4].

Despite the surge in exports, US natural gas futures held steady due to record gas stockpiles and forecasts of rising gas demand in the Lower 48 states. The average amount of gas flowing to the eight big US LNG export plants rose to 16.1 bcfd in August, up from 15.5 bcfd in July [2]. This increase in exports, combined with favorable weather conditions, is likely to keep gas prices stable despite the potential for higher domestic demand.

In conclusion, the rise in US natural gas futures is a result of strong LNG export flows, driven by robust demand and favorable weather conditions. The continued expansion of LNG capacity and trade agreements, such as those announced by Cheniere Energy, are expected to sustain this trend. However, investors should remain vigilant to potential price volatility due to increased domestic demand and supply constraints.

References:
[1] https://naturalgasintel.com/news/iea-forecasts-us-lng-export-expansions-to-raise-domestic-price-volatility-but-boost-global-demand/
[2] https://www.tradingview.com/news/reuters.com,2025:newsml_L6N3TY0LT:0-us-natural-gas-futures-steady-despite-near-record-lng-export-flows/
[3] https://naturalgasintel.com/news/steamy-forecasts-surging-lng-failing-to-rally-well-supplied-natural-gas-market/
[4] https://simplywall.st/stocks/us/energy/nyse-lng/cheniere-energy/news/cheniere-energy-lng-is-up-59-after-expanding-lng-capacity-an