US gas prices plunge on milder weather forecasts

US natural gas futures flopped 11% as investors expect milder weather over the next two weeks. As a result, it should allow utilities to leave more gas in storage and US residents to reduce the energy used for heating.

Phil Flynn, senior analyst at Price Futures Group, noted that the country would be smashed just with a short-lived Antarctic blast. So the market is already looking further ahead.

It’s still unknown when Freeport LNG's liquefied natural gas (LNG) export plant would restart.  Earlier, the company announced delays to the timeline for restart and stated it planned to return by the end of the year. However, according to analysts, it will not return to full service until the first quarter of 2023. The company still has to do a lot to get regulatory approval and resume processing.

Consulting firm Ritterbusch and Associates said in a note that the strong dollar seen last week and the selloff in the oil could affect gas prices. They assume that the market is not ready to post a sustainable advance as the weather increasingly drives prices.