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COMMODITIES-U.S. crude futures rally on supply worries; natgas rebounds

* U.S. crude futures rally $2/bbl on supply worries

* Natgas up on brutal cold forecast over United States

* Gold down on speculation over Fed stimulus tapering

* Coming up: Fed Open Market Committee policy statement Weds

NEW YORK, Jan 28 (Reuters) - U.S. oil futures rose nearly $2 a barrel on Tuesday on worries over dwindling supplies, narrowing their discount to European Brent, while natural gas rebounded as forecasts for colder temperatures in the coming days in most of the United States. Copper hit a seven-week low as buying interest faded ahead of the Chinese New Year and as a stronger dollar weighed, while U.S. wheat prices rose on better demand expectations and the severe cold U.S. weather. Gains in energy products lifted the commodity baskets as a whole. The Thomson Reuters/Core Commodity Index, a benchmark for global commodities made up of 19 components, closed up 2.4688, or 0.9 percent, at 282.1796. U.S. oil drew support from market perception that the gradual startup of TransCanada Corp's Keystone pipeline would move supplies to the Gulf Coast from oil hub Cushing, Oklahoma, where the U.S. crude oil contract is priced. A lack of pipelines in the region has kept U.S. prices depressed relative to Brent oil for the past three years. "The Brent/WTI spread is contracting a bit more, and that always helps crude prices," said Tariq Zahir, managing member of commodity trading advisor Tyche Capital Advisors in New York. U.S. light crude oil touched a high of $97.66, up $1.94, and settled $1.69 higher at $97.41, its highest settlement since Dec. 31. Brent crude touched a high of $107.79 a barrel, up $1.10, and then settled up 72 cents at $107.41 a barrel. U.S. natural gas closed up almost 4 percent after private forecaster MDA Weather Services revised its six-to-10-day forecast to show colder-than-average temperatures for all of the country except Florida.

GOLD, COPPER FALL AHEAD OF FED In precious metals, gold fell for a second day as global equities rebounded from a one-month low and emerging markets stabilized after three days of intense selling. The precious metal was under pressure on speculation that the Federal Reserve will make a $10 billion cut to the U.S. central bank's $75 billion monthly bond-buying stimulus. Fed tapering worries were a major factor in gold's 28 percent price crash last year. The Fed is likely to leave intact their delicately worded easy-money message in its closely watched policy statement when it concludes its two-day meeting on Wednesday. Copper prices fell as recent growth worries over emerging markets stirred demand fears for industrial metals. In agricultural commodities, U.S. wheat and corn both gained as top global buyer Egypt purchased a cargo from the United States for the second time this month and bitter cold threatened to damage the crop.

(Editing by Andrew Hay and David Gregorio)