We’re in the thick of summer and millions of Americans are cranking up the A/C (or taking refuge wherever they can find it). This has in turn sparked interest in the natural gas exchange traded funds (ETFs).
Sandy Shore for Associated Press says that the uptick in the number of Americans cranking up their air conditioners was good for natural gas prices. The price increase will kick off seasonal trading for natural gas, which could lead to higher prices for traders and consumers.
The controversial practice of “fracking” by the natural gas industry, however, may offset any green votes toward the commodity. The industry is taking steps to address it before it becomes a full-on PR crisis. [Why Natural Gas ETFs Won in BP Disaster.]
Range Resources Corp.’s (NYSE: RRC) move to voluntarily disclose the chemicals it injects into the ground could prompt other drillers to do the same, which also reflects the desire of the industry to get out ahead of the issue to prevent federal regulation of the key drilling practice called hydraulic fracturing, or fracking.
Mike Soraghan for The New York Times reports that at least one major driller, Chesapeake Energy Corp. (NYSE: CHK), says it is considering disclosing chemicals used in fracking on a well-by-well basis. [A New Natural Gas Trend?]
For more stories about natural gas, visit our natural gas category.
- First Trust ISE-Revere Natural Gas Index (NYSEArca: FCG)
- United States Natural Gas (NYSEArca: UNG)
- United States 12 Month Natural Gas (NYSEArca: UNL)
Tisha Guerrero contributed to this article.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.