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Bloomberg reported that the U.S. Natural Gas Fund, the largest exchange-traded fund in the fuel, closed at a premium of 0.11 percent on Oct. 17.
Bloomberg reported that the U.S. Natural Gas Fund, the largest exchange-traded fund in the fuel, closed at a premium of 0.11 percent on Oct. 17.
As quoted in the market news:
A premium means that the closing price of the shares is higher than the value of its underlying holdings in the fuel.
The fund aims to track the price of natural gas delivered at Henry Hub in Erath, Louisiana, the delivery point for the future traded on the New York Mercantile Exchange. The ETF buys the near-month contract, then rolls forward by selling it before expiration and buying the following month.