US natural gas futures rose toward $3 per MMBtu on Thursday, following a sharp drop in the previous session, as investors continue to watch developments in the US-Israel war with Iran. Prices had fallen 4.5% on Wednesday on reports that Iran signaled openness to discuss ending the conflict, though Tehran later denied the claim. The conflict has now entered its sixth day with no clear signs of abating, after the US reportedly sank an Iranian warship in international waters off Sri Lanka’s coast. Supply risks were further amplified as the world’s largest LNG facility in Qatar remains offline, while the Strait of Hormuz is closed, though President Trump said the US would ensure safe passage for vessels and provide naval escorts if necessary. Meanwhile, domestic natural gas stockpiles are expected to have declined again last week, reflecting ongoing winter demand.
