Friday, June 15, 2012

Natural Gas: The Widowmaker

Yeah, the swings can be dramatic.
You'll note we don't do a lot of forecasting on storage injection report day. We'd like our readers to survive to visit us again.
From Managed Futures blog:
While natural gas over much of past 4 years as been about as fun as watching paint dry – it picked up activity starting mid-April in what we’ve been calling the Jeff Gundlach Low here in the office – it was up 15% today out of nowhere.

Chart courtesy Disclaimer: past performance is not necessarily indicative of future results.

Natural gas has been called the widowmaker by many in the industry for the sharp price moves it has been known to have, making widows out of many trader’s wives (I guess the metaphor goes…) as they take killer losses due to the out-of-nowhere volatility....MORE