The price of European natural gas continues to fall. On Monday, the market price fell below 40 euros per megawatt hour (MWh) for the first time since mid-2021.
The leading TTF forward contract for delivery in one month fell to 39.65 euros on Monday morning. This is the lowest level since July 2021.
In the meantime, prices skyrocket
Natural gas prices rose sharply last year as a result of Russia’s war against Ukraine. At the peak, prices of more than 300 euros were paid, after natural gas had cost around 20 euros per MWh for a long time. A heavy dependence on Russian gas had led to an energy crisis.
However, the price of natural gas has fallen noticeably in recent months. One reason is the well-stocked natural gas storage facilities, plus the fact that the weather is often warm. Recently, the fear of a banking crisis probably works in the same direction, as financial crises are usually accompanied by economic tensions and thus a lower demand for energy.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
