When teaching options, for years I used the hurricane approaching the Gulf of Mexico as an example of why someone might buy a straddle… If the storm enters the Gulf, gas production would shut down, prices would surge… If the storm veers off, prices move lower… But now natural gas prices barely move due to more onshore production of natural gas… Here is Bloomberg:
“U.S. energy markets, efficient as they are, have already begun pricing Hurricane Harvey’s effects. With refineries and pipelines out of service, gasoline futures have spiked. So far, however, natural gas futures have hardly responded to Harvey, and it may be another week before they do. One thing is certain: The U.S. gas-production sector has changed drastically in the 12 years since Hurricane Katrina.
From Aug. 1 to Sept. 30, 2005, thanks to Katrina, gas futures prices rose 70 percent. But changes in the production landscape have created a less reactive market this year. The gas-production system isn’t hurricane-proof, by any means, but it is more widely distributed than it was.
Here is the link: https://www.bloomberg.com/view/articles/2017-09-01/natural-gas-looks-hurricane-proof-for-now
And, from Barchart.com, here is a chart of recent natural gas prices:
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