European Gas Futures Pare 10% Weekly Drop as US-Iran Peace Talks Slip
Updated
Updated · Bloomberg · Jun 19
European Gas Futures Pare 10% Weekly Drop as US-Iran Peace Talks Slip
3 articles · Updated · Bloomberg · Jun 19
Summary
European benchmark gas futures trimmed part of this week’s roughly 10% decline on Friday after the US and Iran delayed talks on a permanent peace deal.
That rebound left prices still well below early-week peaks but did little to improve the economics of storing gas for winter, with analysts continuing to expect a tight market.
Asian demand is seen rising into an unusually hot summer, a factor keeping European gas prices broadly above pre-conflict levels even after the peace accord began to take shape.
The market’s reaction suggests easing geopolitical risk has lowered prices, but not enough to loosen storage conditions ahead of winter.