Natural Gas
NG=F
Key Statistics
About Natural Gas
By Liveworldmarket Editorial Team · Last reviewed 29 June 2026
Natural Gas Futures (Henry Hub) — A Practical Guide
Natural gas futures, traded on NYMEX under ticker NG, settle at Henry Hub — a major natural-gas pipeline interconnection point in Louisiana, USA. The standard NG contract is 10,000 million British thermal units (MMBtu) priced in USD per MMBtu. Henry Hub is the dominant US-domestic natural-gas pricing benchmark; international LNG (liquefied natural gas) cargoes are priced off Henry Hub plus shipping cost plus liquefaction premium.
Natural gas is structurally more volatile than crude oil because storage is harder, demand is highly seasonal (winter heating is a huge driver), and supply elasticity is low in the short run. Annualised volatility for natural gas futures runs 50-80%, vs. 30-40% for crude. Single-day moves of 5-10% are common during weather-related supply/demand shocks.
History & contract origins
NYMEX natural gas futures launched on 3 April 1990 — the second major energy futures contract after WTI. The contract has become essential infrastructure for US gas-marketing and producer hedging. Major historical episodes: 2005 Hurricane Katrina spike to $15.40 (post-Gulf-of-Mexico-production loss), 2008 commodity-bubble spike to $13.50, the 2014-2016 shale-glut crash to $1.61 (March 2016), the 2022 European-energy-crisis spike to $9.66 after the Russia-Ukraine war reduced European gas supply and US LNG exports surged. Through 2023-26 prices have largely returned to the $2-4 range.
Long-run trend: US natural-gas prices have declined dramatically since 2008 due to the shale-gas revolution. Prices that were considered 'normal' before 2010 ($6-10/MMBtu) have not been seen sustainably since.
Trading hours & session layout
Natural gas futures trade essentially the same Globex hours as WTI. In IST:
| Weekly open | Sun 03:30 IST |
| High-volume window | 18:00 - 02:30 IST |
| Weekly close | Sat 02:30 IST |
Holiday calendar (typical annual closures)
Listed below are the major scheduled closures for the underlying exchange. Exact dates shift year-to-year — always verify against the exchange's official calendar before holding overnight positions across a holiday boundary.
| Holiday | Typical date |
|---|---|
| New Year's Day | 1 January |
| Good Friday (early close) | Variable |
| Memorial Day (partial) | Last Monday of May |
| Independence Day (early close) | 4 July |
| Thanksgiving (early close) | Fourth Thursday of November |
| Christmas Day | 25 December |
How to read this tape
Read natural gas alongside three signals. First, US weekly storage data published by the EIA every Thursday 20:00 IST — surprise inventory builds or draws drive 3-7% same-day moves. Second, US weather forecasts — natural gas is the most weather-sensitive commodity; an unusually cold winter or hot summer can drive 30-50% multi-week moves. Third, European TTF (Title Transfer Facility) prices — when European gas prices spike, US LNG export demand rises, which tightens US-domestic supply.
Natural gas is not typically a portfolio hedge — its volatility and seasonal patterns make it more of a speculative trading instrument. Position sizing should reflect the higher volatility.
Frequently asked questions
Why is natural gas so much more volatile than crude oil?
Three reasons: (a) gas storage is much harder than oil storage (cryogenic for LNG, salt caverns for domestic), (b) demand is highly seasonal (heating in winter), (c) supply is inelastic in the short run because new wells take 6-12 months to come online.
What is Henry Hub?
A major natural-gas pipeline interconnection point in Erath, Louisiana, owned by Sabine Pipe Line. The hub connects 13 major interstate and intrastate pipelines and is the largest natural-gas physical-delivery point in the US — hence its choice as the NYMEX futures-settlement location.
How does Henry Hub compare to European TTF?
Henry Hub (US, ~$2-4/MMBtu typical) is much cheaper than European TTF (~$10-15/MMBtu typical) due to abundant US shale supply. The price gap drives massive US LNG exports to Europe and Asia.
How does natural gas affect Indian markets?
Indirectly. India imports roughly 50% of its natural gas requirement as LNG, with prices typically linked to Brent crude rather than Henry Hub. However, sustained Henry Hub weakness reduces global LNG prices and benefits Indian gas-distribution companies (IGL, MGL, GAIL).
Can Indian residents trade NYMEX natural gas?
Indirectly via MCX Natural Gas futures (which track Henry Hub with a basis). Direct NYMEX trading requires LRS route through a US broker.
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Editorial article. Information only — not investment advice. Read our Risk Disclaimer before acting on any market data shown here.