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Author: grier22 Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 44593  
Subject: UNG natty gas Date: 1/26/2012 10:47 AM
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there are problems with this etf as an investment vehicle, but interesting to note the recent jump in volume.

There's some press today that
Obama will promote moving coal fired energy plants to natural gas,
etc. Iran tensions, too. But how all this weighs against huge
new supply through technological advances in finding and accessing
gas is impossible to know. There's still the chance of a world-wide
recession, too. Just watching
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Author: chk999 Big red star, 1000 posts Old School Fool CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 44537 of 44593
Subject: Re: UNG natty gas Date: 1/26/2012 1:11 PM
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Current spot price is less than the marginal cost of production, so it won't stay down this low for very long. CHK is already shutting in some production.

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Author: grier22 Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 44543 of 44593
Subject: Re: UNG natty gas Date: 2/3/2012 11:25 AM
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etf bounce at $5 with volume. Just watching, the downtrend may continue.

Meanwhile WSJ reports today on the supply glut due to new production and mild winter.
SNIP
The more likely scenario is that forced sales of gas push prices below $2, and perhaps even $1, for a brief period at some point this year. The real solution will be for such low prices to encourage more demand or, more immediately, for gas producers to shut-in some production, like Chesapeake Energy did last week. Citigroup puts the breaking point for high-cost producers at about $1.80, 27% below today's price. Ultimately, a crash may be the only way to get this market to rebalance in short order.

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