US natural gas futures fell to $2.86 per MMBtu, hitting their lowest level in over a month, as the market enters the spring shoulder season, which typically reduces heating demand and allows storage levels to build. Weather forecasts showed above-average temperatures across the eastern half of the US, from late March into early April and again around mid-month, potentially reducing gas consumption. As a result, markets anticipate that inventories will rise more rapidly in the coming weeks, expanding from a small surplus in mid-March to a larger surplus by mid-April. Natgas prices gained 0.9% in March, supported by LNG feedgas demand following supply disruptions at the Strait of Hormuz. Meanwhile US gasoline prices have crossed $4 per gallon for the first time since August 2022, climbing more than $1 per gallon since the Midde East war began.
