Thursday, September 17, 2009

Natural Gas Doubles in Eight Days; CFTC Position Limits at Work

From a low of about 2.400/m BTU, to a high today of about 4.700/m BTU, the price of natural gas has nearly doubled in eight trading days. This is the impact of the onerous new CFTC restrictions on position size limits - higher prices, lower liquidity, more erratic movements.