The Dow Jones Commodity Index Natural Gas is designed to track the natural gas market through futures contracts This is based on the NYMEX contracts for natural gas.
What is in the Bloomberg natural gas Subindex? The Index is composed of one or more futures contracts on commodity of natural gas (the “index components”) and is intended to reflect the returns that are potentially available through (1) an unleveraged investment in those contracts plus (2) the rate of interest that could be earned on cash collateral invested in ...
How do natural gas swaps work? “Swaps” are exchanges of payments between two parties. They are strictly financial. No physical exchange of the commodity takes place. One party to the transaction agrees to pay a current market price (“fixed”) while the other agrees to pay a price in the future (“floating”).