CommoditiesMedium•9 November 2026•
1 min read
US Natural Gas Surges as Hedge Funds Cover Record Short Positions
Key Facts
1December natural gas futures rose as much as 4.6% to $3.140 per million British thermal units.
2Hedge funds are being forced to cover record short positions of 636,576 contracts following a shift to colder weather forecasts.
December natural gas futures rose as much as 4.6% to $3.140 per million British thermal units. ZeroHedge reported that the price jump followed a shift toward colder weather forecasts in the US Mid-Atlantic and Northeast regions, triggering a significant market rally.
Hedge funds are being forced to cover record short positions of 636,576 contracts according to CFTC data, after previously betting on a warmer winter. An analyst at Tradition Energy noted that these liquidations are driving the price action, while BAMWX forecasts suggest temperatures will trend toward or below seasonal averages across much of the region by the end of the week.