Natural Gas Prices Are Dropping. What Comes Next.

The price of natural gas fell below $3 per million British Thermal Units for the first time since May 2021 on Wednesday, and it kept dropping on Thursday. It’s a stunning decline for a commodity that had traded above $9 as recently as August.

The biggest reason for the decline is the warm weather this winter in Europe and the U.S. People are using less gas for heat, allowing more of it to build up in storage.