The cold air funnel cloud is the second to be spotted in the Valley in two days, as the first in a series of storms makes its way through California.
Video of the funnel cloud was shot by Twitter user @hectro805 around 1:30 p.m. near El Nido in Merced County.
A funnel cloud is a rotating funnel-shaped cloud and differs from a tornado because it has not touched down, according to the NWS.
The National Weather Service has issued a Winter Weather Advisory for several counties. Click here for the latest weather updates.
CORRECTION: An earlier version of this story said the funnel cloud was spotted in Hanford. That is incorrect, it was actually spotted in Merced County.