Hedge funds have built a record short position in US natural gas futures as forecasts for a milder winter point to weaker heating and power-generation demand, Bloomberg reported Friday, citing Commodity Futures Trading Commission data.
Money managers' short-only positions across seven benchmark Henry Hub contracts rose to 599,731, the highest in records dating to May 2013, the report said.
Net short positions reached their most bearish level in more than six years, while bullish bets fell to a nearly two-year low.
US natural gas futures fell more than 15% for the week as weather forecasts turned warmer, Bloomberg reported.
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