Exchange traded funds that invest in natural gas rallied Thursday following a report estimating U.S. stockpiles rose less than expected in the latest week.

Natural gas futures climbed to a three-month high, Dow Jones Newswires reported.

“This is a market that is just starving for a fundamental headline,” said Jim Ritterbusch, head of oil-trading advisor Ritterbusch & Associates, according to the report. “It got a smaller-than-expected storage build…and that was enough to send the funds screaming for cover out of their short positions.”

Exchange traded products for natural gas futures and stocks include First Trust ISE-Revere Natural Gas Index Fund (NYSEArca: FCG), U.S. Natural Gas Fund (NYSEArca: UNG), Teucrium Natural Gas (NYSEArca: NAGS) and iPath Dow Jones UBS Natural Gas ETN (NYSEArca: GAZ).

U.S. Natural Gas Fund was up nearly 4% in afternoon trading Thursday.

Full disclosure: Tom Lydon’s clients own UNG.

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