2007-07-27 16:40:26 · 6 answers · asked by shitbird 1 in Business & Finance ➔ Investing
You can have stock in a company that distributes natural gas, or you can have mineral rights to properties that produce oil and natural gas, or stock in the companies that sell those products. Natural gas "futures" is what I think you are referring to, and yes, the prices spike and decline based on projected consumer and industrial demand. As the cold weather approaches, people will "bet" or "speculate" that the cost will go up, or down. You could make a fortune, or lose your donkey. It is the same as crop or livestock futures. Win big, or lose big!
2007-07-27 16:57:33 · answer #1 · answered by piper54alpha 3 · 0⤊ 1⤋
Maybe.
The price of a stock reflects investor's expectations of all future earnings. This includes higher earnings in the winter, and lower earnings in the summer. There is no correlation for this reason.
There is a slight correlation between season and all stock prices - generally, they go down in the summer, and generally, they go up at the end and/or beginning of the year, but not because earnings are better or worse.
2007-07-27 17:24:40 · answer #2 · answered by Anonymous · 0⤊ 1⤋
I believe it's sold on the futures market, not the stock exchange. Beware of futures! All gas prices are very likely to plummet within the next year, due to the 2008 election.
2007-07-27 16:44:30 · answer #3 · answered by Anonymous · 0⤊ 1⤋
I'm hoping for a COLD winter and low reserves. My coal stock is getting hammered!
That first sentence is the best to make it rise.
2007-07-27 16:49:36 · answer #4 · answered by Stand-up philosopher. It's good to be the King 7 · 0⤊ 1⤋
Usually it does....especially if the first major snowfall or cold front comes to the northeastern US early in the winter season..
2007-07-27 16:47:58 · answer #5 · answered by Tlfce 4 · 0⤊ 1⤋
No, you should not be depenedent on that. There are bigger factors that change the price of the stock.
2007-07-27 16:43:15 · answer #6 · answered by Anonymous · 0⤊ 0⤋