Analyst Comment COMMENT
Natural gas.(A Commentary)
26/01/2023
Natural gas. Spiked because of what happened in Europe. Trouble with commodities is that manufacturers adjust. In Europe, price of nat gas has gone down, even though people thought it would be a terrible winter. You had a supply shock, and then companies did what they had to do to meet demand. There's actually a lot of gas around. The price may have gone down too much. It needs to stabilize at historic levels, somewhere around $3-4, and a company should do well from there. You have to look at a company's cost of extracting and selling.
Unknown
Paul Harris, CFA