European Gas Prices Hover Near Peaks

European natural gas prices eased to €85.5 per megawatt-hour, hovering just below a multi-year high, as investors anxiously weigh the bloc’s supply outlook ahead of the heating season. EU gas storage facilities were 74.1% full, far lower than typical levels for this time of year, with some countries struggling to meet the minimum storage requirements. Replenishing inventories has become challenging for Europe amid continued shipping disruptions through the Strait of Hormuz, with Middle Eastern supplies remaining about 80% lower than a year earlier. This sets the stage for fiercer competition between Asia and Europe, the world’s two largest LNG-importing regions, for available cargoes as temperatures fall. Prices remain vulnerable to further spikes in the event of a colder winter and prolonged supply disruptions.