May 25, 2022 - Economy

Natural gas prices soar as supply dwindles

Data: FactSet; Chart: Axios Visuals
Data: FactSet; Chart: Axios Visuals

Natural gas prices are surging, adding fuel to the inflationary fire.

Why it matters: Americans are already fending off rising costs in food, shelter and consumer goods — and now they'll be paying more to stay cool and keep the lights on this summer.

Driving the news: Spot prices of natural gas soared above $9 per million British thermal units, or MMBtu, in intraday trading Wednesday.

  • That's the highest point in more than a decade, as "dwindling inventories push prices higher" and the war in Ukraine applies upward pressure, according to CNBC.

By the numbers: Prices have more than tripled since this time last year, according to the Energy Information Administration.

Our thought bubble: Break out the shorts this summer if you want to save on air conditioning.

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