Natural gas retreated as forecasts for above-average temperatures spurred concern that the U.S. winter will be too mild to erode a stockpile surplus.
The futures dropped as warmer-than-normal weather will blanket the central and eastern half of the country Jan. 6 through Jan. 10, according to MDA Weather Services in Gaithersburg, Maryland.
Natural gas for January delivery fell 3.8 cents, or 1.1 percent, to settle at $3.354 per million British thermal units on the Nymex. The January contract expired today. The more actively traded February futures dropped 1.3 cents to $3.412. Futures trading volume was 51 percent below the 100-day average.