Meanwhile, on the supply side, marketed gas output could rise 4.1% to an all-time high of 73.08 billion cubic feet this year, according to the Energy Information Administration. Stockpiles could rise to 3.43 trillion cubic feet by the end of October, but it will still be the least amount in storage since 2008.
According to the CME Group, natural gas futures are trading in a slightly contangoed market where near-term contracts trade at a lower prices to later-dated contracts. Contango can weigh on natural gas ETFs, like UNG, that roll near-term contracts, or sell futures that are about to mature for a lower price and buy the next month contract at a higher price.
VelocityShares Daily 3x Inverse Natural Gas ETN
For more information on the natural gas market, visit our natural gas category.
Max Chen contributed to this article.