(Natural) Gas Pains?
Has the U.S. Natural Gas ETF (NYSE Arca: UNG) gotten almost too big for its britches? The fund, which began trading two years ago, has generated so much interest that it has had to ask the SEC for permission to expand, not once, but twice since the beginning of the year. As you’d expect with any growing ETF, trading volumes have also skyrocketed. But the timing seems odd, if you check out the chart, as interest seems to have increased in the fund after the price of natural gas dropped last summer. Now we’re in a period of low natural gas prices and interest has skyrocketed.