European Gas Tops €100/MWh as Iran War Fears and Low Stockpiles Stoke Winter Squeeze
Updated
Updated · Bloomberg · Oct 28
European Gas Tops €100/MWh as Iran War Fears and Low Stockpiles Stoke Winter Squeeze
3 articles · Updated · Bloomberg · Oct 28
Summary
Benchmark European gas futures jumped more than 5% and broke above €100 a megawatt-hour, the highest level since December 2022 and the first return to that threshold since the energy crisis.
Rising heating demand, unusually low European storage levels and fears that an escalation of the Iran war could disrupt global gas supplies combined to drive the latest surge.
The move revives concerns over another damaging price shock just as Europe enters peak winter demand, after tight supply and weaker wind and solar output had already lifted power prices.
Wholesale gas gains are already feeding into household and industrial energy costs, with EU governments having spent €17.9 billion this year to soften the impact.