Gyroscopic Investing

The recent collapse in the price of natural gas has been really astounding.

At current prices, LOTS of these shale gas plays are huge money losers.  I think that a lot of the shale gas exploration was undertaken based upon a minimum natural gas price more than double where it is today.

I would look for lots of pain among the higher cost natural gas producers in coming months and maybe even years.  At some point the U.S. will begin exporting LNG, but that looks to be at least 3-4 years away.

Good for me up here in chilly Minnesota.

It'll be interesting to see if core inflation (and CPI) will drop a decent amount.

I've been watching natural gas for a few years. 

Before I found the PP, I was considering investing in UNG or some of the gas companies like Chesapeake.
I was convinced this would be some kind of brilliant contrarian "play." 

It makes sense that at some point the price will go up, but who knows when.  I'm glad I stayed away.

Just shows how hard it is to predict these trends.  If the gas companies can't do it, I'm not sure who can.