While not quite going from feast to famine, the U.S. natural-gas market suddenly looks a lot different. Futures prices have soared of late to a two-and-a-half year high as cold weather caused a spike in heating demand, taking an unprecedented bite out of inventories. Last week’s report on underground gas stockpiles from the Energy Information Administration showed a drop of 285 billion cubic feet, shattering the previous weekly record established in January 2008. The report for the week ended Dec. 20, due Friday, should show a more typical reduction. As of the most recent report, underground storage stood at 3,248 billion cubic feet. That is 13% below last year’s level on the same date and more than 7% below the average of the past five years. There is no need to turn down the thermostat, though. Not too long ago, a stockpile of 3,000 billion cubic feet was considered […]

Posted in: USA