(Bloomberg) — A fast-moving winter storm on the East Coast is driving up demand for natural gas, and giving New York City prices their strongest start to a new year since 2018.
Spot prices have more than quadrupled since Dec. 30, according to New York-based hedge fund E360 Power LLC and broker data compiled by Bloomberg.
An unusually warm December “has bred a lack of respect for cold weather,” and the dropping temperatures are causing a scramble to secure more gas supplies, said James Shrewsbury, co-founder of E360 Power. “This isn’t crazy cold yet.”
Natural gas for delivery on Monday in New York City was $15 per million British thermal units in early trading, the strongest prices for the start of a year in since they soared to $138 on Jan. 4, 2018.
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