Nat-gas prices settled higher on Thursday on a smaller-than-expected storage increase. Weekly EIA nat-gas inventories rose +28 bcf in the week ended July 24, below expectations of +37 bcf. Nat-gas prices extended their gains on forecasts for warmer US weather, potentially boosting nat-gas demand from electricity providers to power an expected increase in air conditioning use. A bearish factor for nat-gas prices in the medium term is speculation that a powerful El Niño weather system will bring warmer-than-normal temperatures to the Northern Hemisphere this fall and winter, reducing nat-gas heating demand. As of July 24, nat-gas inventories were down -1.2% y/y, and +6.4% above their 5-year seasonal average, signaling adequate nat-gas supplies.