May 6, 2025
Gas in Europe fell in price following oil amid lagging demand from supplies thumbnail
Economy

Gas in Europe fell in price following oil amid lagging demand from supplies

Gas in Europe fell in price following oil amid lagging demand from suppliesFutures fell by 2.1% due to concerns about a global surplus. Strong renewable energy production in Europe is also putting pressure
on demand for fossil fuels.
”, — write: unn.ua

Natural gas in Europe has fallen slightly in price, amid prospects for energy demand not keeping pace with supply prospects, Bloomberg reports, UNN writes.

DetailsBenchmark futures fell 2.1% on Monday before trimming some of those losses. Oil, to which some gas contracts are linked, fell on fears of a global glut after OPEC+ agreed to increase production, increasing supply at a time when demand is being challenged by a trade war.

Oil prices collapsed amid OPEC+’s acceleration in production increase05.05.25, 08:19 • 62467 views

Concerns about trade tensions and their impact on global energy demand have put pressure on prices since the US introduced a series of tariffs, and European gas futures have lost more than 20% in April. While the fall appears to have revived demand in Asia, which competes with Europe for fuel cargoes, concerns about slowing economies in both regions continue to put pressure on prices, the publication writes.

US President Donald Trump has suggested his administration could strike trade deals with some countries as early as this week, but also said he has no plans to speak with his Chinese counterpart Xi Jinping. China has been at the center of Trump’s tariff campaign, prompting Beijing to retaliate against US tariffs.

EU to propose ban on Russian gas imports by end of 2027 – Bloomberg05.05.25, 12:48 • 6006 views

Meanwhile, strong renewable energy production in Europe has also put pressure on demand for fossil fuels in recent days, allowing more gas to be stockpiled ahead of next winter. The region’s storage facilities are now more than 40% full, although this is still below the average of around 50% over the past five years, the publication notes.

Dutch front-month futures, the European gas benchmark, traded 0.7% lower at €32.84 per megawatt-hour as of 10:00 a.m. in Amsterdam.

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