Live Updates > Live Update Details
2026-11-05 17:48:27
[European Gas Prices Fall, Tight Fundamentals Remain] ⑴ European natural gas prices fell for the fourth consecutive trading day, with the TTF benchmark falling by approximately 18% this week, trading around €86 per megawatt-hour. ⑵ The market is pricing in a decrease in the risk of long-term supply disruptions in the Middle East. ⑶ However, the physical supply and demand situation remains tight. ⑷ EU natural gas inventories have fallen to approximately 74%, while the normal level is around 90%. ⑸ German inventories are below 61%. ⑹ Cold weather has begun to drive more natural gas withdrawals from inventories. ⑺ Weak wind and solar power output is boosting demand for gas-fired power generation. ⑻ The conflict in Iran has reduced global liquefied natural gas supply by a significant proportion. ⑼ Therefore, this round of decline is more like a geopolitical risk premium being squeezed out of prices, rather than a substantial easing of the European natural gas supply and demand balance. ⑽ Europe is still entering winter with low inventories, limiting its buffer against another round of supply shocks.
