Exchange traded funds (ETFs) and notes that provide exposure to the movement of natural-gas futures saw their fifth straight day of losses Thursday with forecasts of milder weather hitting the commodity this week.
U.S. Natural Gas Fund (NYSEArca: UNG) lost more than 2% after dropping by a similar percentage on Wednesday. [Natural Gas ETFs Decline On Warmer Weather Forecasts.]
Natural-gas futures slid Thursday after a government report showed a smaller-than- expected decline in U.S. supplies, Bloomberg reported.
Natural gas is one of the few commodities in the red for 2011.
U.S. Natural Gas Fund was trading near its 50-day moving average.
For full disclosure, Tom Lydon’s clients own UNG.
The opinions and forecasts expressed herein are solely those of John Spence, 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.