- Natural gas prices (UNG +3.8%) are surging, thanks to a huge cold front forecast to sweep down over much of the U.S. as well as gas producers who are dialing back production in response to depressed prices.
- U.S. natural gas futures for November delivery recently +6.6% to $2.61/MMBtu, following a 6.3% jump yesterday which was the best day for futures since January.
- At the same time, executives with CNX Resources and others have said low gas prices were causing the companies to cut back; even if prices rise this winter, they said they are likely to use the extra cash to continue buying back shares and to repay debt rather than raise production.
- Nat gas stocks on the move today include: CNX +15.5%, AR +10.7%, RRC +9.8%,EQT +9.7%, GPOR +5.9%, SWN +5.1%, COG +4.8%, CHK +3%.
- ETFs: UNG, UGAZ, DGAZ, BOIL, GASL, FCG, KOLD, GASX, UNL, GAZB, GAZ