Gas prices for the European market fall amid weak demand and rising supplies from Norway

The wholesale price of gas for the European market continued to fall today due to weak demand and rising supplies from Norway. Shortly before noon, the price of the key front-month gas contract at the Title Transfer Facility (TTF) virtual trading hub in the Netherlands was down seven percent, trading below 37 euros (around CZK 900) per megawatt-hour (MWh).

Unusually warm weather is behind the weak demand for gas. „Demand in Europe remains weak, while storage levels are high,“ said Wayne Bryan, an analyst at LSEG. „Temperatures are above normal and are expected to remain so for most of October,“ he added. „Concerns about supplies from Norway have eased in recent days as production has increased,“ he also said.

Tom Marzec-Manser, an analyst at ICIS, wrote on social network X that gas consumption in the European Union and Britain was nine percent lower in September than a year earlier and 20 percent below the average for that month in 2017 to 2021.