Investing.com - Natural gas futures held near a two-week low struck in the previous session on Wednesday, as market players assessed the outlook for U.S. demand and supply levels.
On the New York Mercantile Exchange, natural gas for delivery in July held in a range between $4.519 and $4.572 per million British thermal units. Prices last traded at $4.540 during U.S. morning hours, up 0.21%, or 0.9 cents.
Natural gas futures fell to $4.517 on Tuesday, the lowest since May 30, before settling at $4.530, down 2.48%, or 11.5 cents.
Futures were likely to find support at $4.489 per million British thermal units, the low from May 30 and resistance at $4.636, the high from June 10.
Natural gas futures have been under pressure in recent sessions as mild weather forecasts weighed on near-term demand expectations for the fuel.
Updated weather-forecasting models showed that the Midwest and Texas would see cooler-than-average temperatures over the next five days, while the East and West coasts would experience warmer than normal conditions.
Demand for natural gas tends to rise in the summer months as warmer temperatures increase the need for gas-fired electricity to power air conditioning.
Meanwhile, market players continued to assess the outlook for U.S. supply levels. Utilities added 119 billion cubic feet of gas into storage last week, the largest weekly injection since 2009.
Total U.S. natural gas storage stood at 1.499 trillion cubic feet as of last week, nearly 33% below their level this time last year and 37% below the five-year average.
Producers would need to add approximately 2.5 trillion cubic feet to storage by November 1 to meet typical winter demand, analysts said.
Elsewhere on the Nymex, U.S. crude oil for delivery in July eased up 0.06%, or 6 cents, to trade at $104.41 a barrel, while heating oil for July delivery tacked on 0.54% to trade at $2.899 per gallon.