US natural gas futures edged up to $3.25 per MMBtu, the highest in a week, supported by falling output and rising flows to LNG export plants. Gas production in the Lower 48 states fell to 109.4 billion cubic feet per day (bcfd) so far in July from 110.0 bcfd in June and was below the record monthly high of 110.6 bcfd reached in December 2025. At the same time, average gas flows to major LNG export plants rose to 18.1 bcfd so far in July, up from 17.4 bcfd in June, reflecting stronger overseas demand. Prices also received support from speculation that a recent heatwave drove a surge in gas demand from power generators as they ramped up electricity production to meet increased cooling needs, contributing to withdrawals from domestic storage inventories. However, the upside may be limited as weather forecasts have shifted to indicate cooler conditions across the eastern half of the US through July 15, potentially reducing cooling demand.

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