An early rally in a natural gas ETF faded Wednesday on heavy volume after the commodity touched a five-month high on warm-weather forecasts.
U.S. Natural Gas Fund (NYSEArca: UNG) fell into negative territory Wednesday afternoon on trading volume that was more than twice the daily average.
The ETF hit resistance at the May high of about $20 a share.
“Natural gas futures jumped to a five-month high in New York on forecasts for hotter-than-normal weather that would boost fuel demand from power plants,” Bloomberg News reported earlier Wednesday.