NEW YORK: US natural gas futures fell on Monday as forecasts indicated milder weather in the coming days, but prices stayed near a 21-month high hit in the last session on surging liquefied natural gas (LNG) exports.

Front-month gas futures fell 11.0 cents, or 3.3%, to settle at $3.244 per million British thermal units. On Friday, the contract rose to its highest since January 2019 at $3.396.

"Traders are focused on the short term weather outlook for mid-to-late November and with the heating degree days running warmer than normal, we are seeing selling this morning," said Robert DiDona of Energy Ventures Analysis.

However, demand is strong right now amid record LNG feedgas estimates from this past weekend, DiDona added.

The amount of gas flowing to LNG export plants was near record peak as rising global prices over the past couple of months prompted buyers in Europe and Asia to purchase more US gas.

Analysts said US utilities withdrew 18 billion cubic feet (bcf) of gas from storage in the week ended Oct. 30. That compares with an increase of 49 bcf during the same week last year and a five-year (2015-19) average build of 52 bcf.

"With the arrival of November, HDD accumulation will exert more impact as far as weekly storage shifts are concerned," advisory firm Ritterbusch and Associates said in a note.

"We still see the dynamic of surplus contraction across this month as a powerful force that will be limiting downside price possibilities."

Data provider Refinitiv predicted 215 heating degree days (HDDs) over the next two weeks in the Lower 48 US states, compared with 213 forecast on Friday.

HDDs measure the number of degrees a day's average temperature is below 65 degrees Fahrenheit (18 degrees Celsius) and are used to estimate demand to heat homes and businesses. -Reuters