Natural Gas futures down 51% in 5 months on MCX; Should you bottom-fish?

The MCX Natural Gas futures have declined over 6 per cent so far in March, and tumbled up to 82 per cent from the peak in August 2022.

The MCX Natural Gas futures is down 6.5 per cent in March so far, and have declined over 51 per cent in the last five months, tracking the losses in its international counterpart. Natural Gas prices in the US have declined sharply owing to robust production and a seasonally warm winter, thus reducing demand for the energy-based commodity.

As per reports, natural gas reserves stood well above its five-year seasonal average, owing to lower withdrawals from the inventories. In order to counter this, select natural-gas explorers have recently announced production cuts, and reduction in drilling activities.

Back home, apart from the straight