The oversupply pressure in the U.S. natural gas market is intensifying as hedge funds collectively bet on price declines for the first time in two years.

Zhitong Finance APP learned that due to ample natural gas supply in the United States and expectations of reduced export demand, hedge funds have for the first time since 2024 turned bearish on the U.S. natural gas market, indicating growing concerns among investors about the outlook for energy prices. According to data released by the Commodity Futures Trading Commission (CFTC) in the week ending on May 26, fund managers' net long positions on seven U.S. benchmark Henry Hub natural gas contracts decreased from a net long position of 15,270 contracts in the previous week to a net short position of 11,316 contracts. This marks the first time hedge funds have overall bet on a decline in U.S. natural gas prices since 2024.