Market forces are driving up gas prices in the US, but much will depend on winter temperatures
Winter warning signs for US gas market
Upward price pressures may benefit producers, but consumers will be hoping for a mild winter this year
Soaring gas prices in Europe and Asia have understandably taken all the headlines in recent weeks. But conditions are also ripe for a North American gas price hike, especially if there is a repeat of the Arctic cold snap that struck in the early months of 2021. “A cold winter has the potential to send US natural gas prices into the $15-20/mn Btu range for a prolonged period given the inelastic natural of supply and demand currently,” says Matthew Palmer, senior director, global gas, at information provider IHS Markit. The EIA forecasts that gas prices will most likely average $5.67/mn Btu between October and March, the highest winter price since 2007-08. In mid-October, Henry Hub had already
Also in this section
29 April 2026
The UAE’s exit from the alliance marks a decisive step towards a world in which oil markets are shaped less by collective management and more by national strategy
29 April 2026
Trafigura’s $1b prepayment agreement confirms African resource holders’ renewed interest in oil-backed financing deals as they look to capitalise on high oil prices
29 April 2026
The UAE’s departure from the oil producers’ group was a surprise to many, but the move can be traced back to a single point five years ago
28 April 2026
Oil traders warning of $200/bl oil are wrong, and the market should be wary of proclamations that the impact of the oil shortage has only begun to be felt and a that a ‘harsh adjustment’ is coming—even for industrialised nations
