MTECHTIPS;-U.S. natural gas spikes 5% on bets for massive supply
MTECHTIPS;-U.S. natural gas spikes 5% on bets for massive supply withdrawal
MTECHTIPS-U.S. natural gas futures snapped a five-session losing streak on Wednesday, as investors bid up prices on expectations of a massive U.S. inventory draw. Natural gas for January delivery on the New York Mercantile Exchange jumped 18.1 cents, or 5.5%, to $3.445 per million British thermal units by 8:45 AM ET (13:45 GMT). Market participants awaited weekly supply data due on Thursday, which is expected to show a draw in a range between 197 and 210 billion cubic feet in the week ended December 16. If confirmed it will be the biggest withdrawal for the week since 2010. That compares with a decline of 147 billion cubic feet in the preceding week, 32 billion a year earlier and a five-year average drop of 101 billion cubic feet. Total natural gas in storage currently stands at 3.806 trillion cubic feet, according to the U.S. Energy Information Administration, 1.3% lower than levels at this time a year ago and 4.9% above the five-year average for this time of year.