Is the Recent Cooldown in U.S. Weather Dragging on Natural Gas Demand?

Weather remains a primary driver, and the latest models are providing little support. According to NatGasWeather, a strong upper ridge remains in control through Tuesday with highs ranging from the upper 80s to 100s across much of the country. However, the forecast turns cooler midweek, especially across the Midwest, Northeast, and Ohio Valley, with highs dropping to the 60s and 70s.

The 8–15 day outlook trends even cooler, showing the dominant ridge weakening and retreating into the southern U.S. That’s keeping national cooling degree days (CDDs) near or slightly below normal—hardly the setup for a late-summer demand surge.

What Does the Latest EIA Storage Report Signal for Price Action?

The EIA reported a 56 Bcf injection into storage for the week ending August 8, bringing total inventories to 3,186 Bcf. That’s 79 Bcf below last year’s levels but still 196 Bcf above the five-year average. Regional builds were broad-based, with the East and Midwest adding 21 Bcf each.

Even with stockpiles running slightly behind last year, current levels remain well within the five-year range, muting any urgency for supply-side concerns. Traders are viewing the steady pace of injections—and the likelihood of continued moderate weather—as evidence that end-of-season storage targets can be met without price pressure.

Can Technical Levels Offer Direction as Bears Push Lower?