Prices for gas in Europe continue to fall after US and Iran pause their attacks
Benchmark TTF contract dropped around 9% on Mon
* Prices are still around 75% higher than they were before the conflict began
* ?U.S. *?U.S.
ICE data revealed that the benchmark Dutch front-month contracts at the TTF 'hub were down EUR1.313 to EUR56.94/per Megawatt Hour (MWh), or about $16.69/mmBtu by 0819 GMT. The?contract was already down around 9% by Monday, after U.S. & Iran paused their strikes at the weekend.
The contract is still 75% more expensive than it was before the conflict with the United States. Iran began at the end of Feburary, which has?restricted shipping through the Strait of Hormuz.
Analysts at Citi stated that if a de-escalation or pause is more likely then the 3Q26 TTF prices should be around EUR46/MWh.
The British front-month contracts was down 3.78 pence at 136.98 per therm. Donald Trump, the U.S. president, said that Washington and Iran were having "good discussions" on Monday. He also stated that there was a chance for a resolution. He said that if the negotiations fail, U.S. strikes would resume. Iran also made similar statements about retaliation.
Engie EnergyScan analysts said that the market is "waiting and seeing" pending developments in?Middle East."
LSEG data shows that the gas supply and demand are stable, with total Norwegian exports at 325 million cubic meters/day.
The benchmark contract on the European carbon markets increased by EUR0.09 per metric ton to EUR82.42.
(source: Reuters)
