Natural gas climbed on updated weather forecasts

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Source: Dukascopy Bank SA
© Scanpix/Reuters

Energy futures were mixed on Wednesday, with heating oil and natural gas climbing and crude and Brent oil falling. Escalated tensions between Turkey and Syria and a possibility that Iran will support Syria in the dispute sent energy prices higher. However, stronger US Dollar weighted down on the commodity group.

Crude oil dropped in a volatile trade as investors attempted to balance global downside risks and potential supply disruptions from the Middle East.

Brent oil inched down amid lingering supply worries. Meanwhile, market participants remained cautious ahead of the EIA inventory report due on Thursday.

Natural gas was bullish as traders continued to monitor US weather forecasts to gauge heating demand. Updated weather forecasts indicated that weather in the US is likely to be cooler than initially expected.

Heating oil was the top-gainer despite falling Brent and crude oil futures. The commodity rose amid declining US inventories and supply uncertainties.

 

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