Natural Gas Is Surging

Natural gas prices are way up this morning on a bullish Energy Department report, extending a solid two-months' worth of gains.

Futures were up 2.67% after DOE reported a lower-than-expected 31 billion cubic feet were added to benchmark inventories.

That's was also below the five-year-trend.

Here's the intraday chart:

And here are ticks going back to mid-February. The rally has been fueled almost entirely on the long, (long, long...) winter much of the East coast has experienced. Citi's Timothy Evans says that as soon as spring comes the rally will fade. From his insta-note this morning:

Although the data revives the upside potential for prices in the near term, we still consider the rally as more fragile than it might appear as it is still weather dependent.

In case you missed it, Goldman is calling natural gas "the new safe haven."