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European natural gas prices bounce as Qatari LNG disruptions persist
ING expects tighter-than-usual EU gas storage going into winter, with storage at 56% full versus a 72% 10-year average and EU LNG imports set to drop more than 25% year over year in July.
ING analysts Warren Patterson and Ewa Manthey say European natural gas prices have bounced higher, citing renewed Middle East tensions that disrupt QatarEnergy LNG exports. They point to an extended force majeure for QatarEnergy buyers in Asia and Europe through the end of September, alongside reports the company is seeking to subcharter an LNG carrier into October.
ING also links the move to reduced EU LNG imports and seasonal injection challenges. The analysts note that heatwaves across Europe are complicating storage build, and they expect tighter-than-usual storage at the start of winter and elevated gas prices through the heating season, with potential spikes.
The ING team highlights EU storage conditions, saying European gas storage is 56% full compared with the 10-year seasonal average of 72%. They add that EU LNG imports are on track to fall by more than 25% year over year in July, which they say will make refilling storage more difficult.
FXStreet contextualized these commodity-driven pressures alongside other market themes, including a resilient U.S. dollar and investors holding off on large FX positions ahead of the Fed gathering, as Europe moves toward winter with a more vulnerable gas balance.
Latest closeNat gas $2.680 ▼3.1%