Natural Gas ETFs Punished on Warm Weather, Supply | ETF Trends

Exchange traded funds tracking natural gas futures fell to new all-time lows on Monday as prices have been hurt by warm weather in the U.S.

The $1.3 billion U.S. Natural Gas Fund (NYSEArca: UNG) was down 2.5% on Monday and traded below $8 a share for the first time.

Other exchange traded products that follow natural gas prices and producers include iPath Dow Jones-UBS Natural Gas ETN (NYSEArca: GAZ), First Trust ISE-Revere Natural Gas Index Fund (NYSEArca: FCG), Teucrium Natural Gas (NYSEArca: NAGS) and U.S. 12 Month Natural Gas Fund (NYSEArca: UNL).

“Temperatures across the eastern half of the U.S. are expected to remain above average over the next week, reducing the need for gas used to heat homes and businesses,” Dow Jones Newswires reported. “Forecaster WSI Energycast said temperatures as much as 15 degrees above normal are expected in some U.S. regions over the next ten days, with the East Coast and South expected to see temperatures ‘much above normal.’ Mild weather in recent months has fueled larger-than-average increases in U.S. gas stockpiles, intensifying the supply glut currently weighing on prices.”

U.S. Natural Gas Fund was down 31.5% year to date as of Nov. 11, according to Morningstar.