Natural gas futures in New York tumbled the most in eight months as meteorologists predicted a period of warmer weather after this week’s arctic chill.
Gas slid below $4 for the first time since Dec. 5 as WSI Corp. in Andover, Massachusetts, said temperatures may be mostly normal or higher than average in the contiguous U.S. from Jan. 14 through Jan. 18. Jan. 7 was the coldest day of the 21st century in the lower-48 states, based on a measure of energy demand, according to Commodity Weather Group LLC. A government report today showed a bigger-than-average stockpile drop for last week.
“We had some terrifically cold weather and the market was strong, but the weather is obviously changing,” said Tom Saal, senior vice president of energy trading at FCStone Latin America LLC in Miami. “Gas is going to follow the forecasts.”