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Waiting for UNG's New Issuance to Prove Itself

"I have a newbie question. If UNG attempts to track NG prices, and the futures are in Contango, does that mean traders expect NG prices to be higher in the future months?"

The steep contango in the front months is historically very odd, while the flatter contango in the back-half is more reflecting what you say. Contago must reflect the "cost-of-carry", so a normal market can generally have a mild contago. Go to investopedia and read about contango and backwardation; contango alone does not mean things are bullish.

More ETF Regulation Is Not the Answer

What's worse are the commodity ETF's that hold futures contracts all in the prompt month and have to roll their contracts every month in a contango market. Investors who don't realize this may wonder why they experience 'slippage' to the underlying.