GAZB - Nat gas spread flips to negative as traders doubt cold winter

U.S. natural gas (NG1:COM) for January delivery is now trading below February prices, as near-term forecasts for colder weather are scaled back, with temperatures expected above normal in much of the U.S. midwest and parts of the northeast in mid-December.In recent trade, Nymex gas for January delivery -7.5% to $2.573/MMBtu while February futures -7% to $2.583/MMBtu.Also, the March-April gas spread has narrowed to a record low for the 2021 contracts, suggesting traders are betting on abundant supplies by the end of the heating season."Natural gas, a heating fuel, switching to contango before winter even gets started is a very negative price indicator," says Bob Yawger, director of the futures division at Mizuho Securities.Although gas exports have climbed to an all-time high and drillers have cut production, there have been few signs of the weather cooperating to support a rally.ETFs: [[UNG]], [[UGAZF]], [[DGAZ]], [[BOIL]], [[FCG]], [[KOLD]], [[UNL]], [[GAZ]], [[GAZB]]

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Nat gas spread flips to negative as traders doubt cold winter