Tuesday, January 27, 2026-U.S. natural gas prices have soared above $6 per million British thermal units (MMBtu) for the first time since late 2022 as a powerful winter storm barrels across much of the country, sending temperatures plunging and heating demand surging.
Front‑month natural gas futures have climbed sharply up roughly 70 % over the past week driven by extreme cold that has pushed homeowners and businesses to crank up heat, straining supplies while freezing conditions disrupt production. This marks one of the most dramatic price rallies in years, underscoring how weather can rapidly shift energy markets.
The storm, known as Winter Storm Fern, has had widespread impacts beyond energy prices, crippling transport links, grounding thousands of flights, and leaving hundreds of thousands of customers without power.
Natural gas production has been hit hard by freeze‑offs in key regions, knocking offline an estimated 10 % of output just as demand for heating and electricity spiked. Grid operators in multiple regions have issued emergency advisories, and utilities are scrambling to ensure continuous supplies amid record gas draws and soaring electricity usage.
Higher natural gas prices are already rippling through the economy, with consumers facing increased energy bills at a time when heating costs are peaking. The freeze has also strained liquefied natural gas (LNG) flows from the U.S., as production is diverted to meet urgent domestic needs. With extreme cold expected to persist in parts of the U.S., analysts warn that price volatility could continue, highlighting vulnerabilities in energy infrastructure and the crucial balance between supply, weather, and demand during severe winter conditions.
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