Quote:
Originally Posted by CaptainYooh
Again, nobody can tell you that with any certain knowledge, credible forecasting or authority. Nobody in the past 40-50 years was able to consistently predict natural gas market price movement except for a few spectacular speculating hustles. Locking your gas rates is driven by gambling on the rates going higher when there is momentum evidence of production shortfalls caused by lower demand. But it is always short-lived. In essence, those who prefer to lock, are happier knowing that their rate is not going up and that they don’t have to check it monthly. A peace of mind. But still nothing but a gamble.
To be fair, governments can influence gas pricing increases through taxes and restrictive policies, but if and when they do, all prices go up through added fees.
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Is the opposite true that staying on floating rates is gambling that rates won’t go up? In general you pay a risk premium for certainty so over the long term you should be better off with floating.