21.03.2022, 13:24
Gas Prices in Europe Fell Below $1,200 Per Thousand Cubic Meters
Source: OREANDA-NEWS
OREANDA-NEWS. Gas prices in Europe at the opening of trading on March 21 are below $1,200 per thousand cubic meters. This is evidenced by the data of the London Stock Exchange ICE.
April gas futures opened the trading session at $1,182.9. After a while, the quotes began to decline and fell to $1,101.5 per thousand cubic meters. Later, they began to rise and by 11.27 Moscow time they amounted to about $1,150 per thousand cubic meters.
By 12:15 pm, April gas futures were trading at $1,199.3.
The cost of gas in Europe fluctuated sharply in late February and early March. This is due to the start of Russia's special operation in Ukraine. The price maximum of $3,892 per thousand cubic meters was recorded on March 7, 2022.
On March 13, VYGON Consulting Research Director Maria Belova said that gas futures prices in Europe are unstable, the direction of their movement in the coming days and even hours is difficult to predict. According to her, such dynamics is associated with the active unwinding of the sanctions spiral. She claims that the market was quoting the possibility of a partial or complete stop in Russian gas supplies. A military operation on the territory of a transit country also affects the risks of damage to the gas transportation infrastructure.
“The sharp rise in prices is associated with concerns about the supply of Russian gas to the EU, where it occupies about 40-45% in the structure of natural gas imports. The movement could have been strengthened by a speculative factor, which explains the subsequent sharp drop in quotations,” says Igor Galaktionov, an expert at BCS World of Investments.
April gas futures opened the trading session at $1,182.9. After a while, the quotes began to decline and fell to $1,101.5 per thousand cubic meters. Later, they began to rise and by 11.27 Moscow time they amounted to about $1,150 per thousand cubic meters.
By 12:15 pm, April gas futures were trading at $1,199.3.
The cost of gas in Europe fluctuated sharply in late February and early March. This is due to the start of Russia's special operation in Ukraine. The price maximum of $3,892 per thousand cubic meters was recorded on March 7, 2022.
On March 13, VYGON Consulting Research Director Maria Belova said that gas futures prices in Europe are unstable, the direction of their movement in the coming days and even hours is difficult to predict. According to her, such dynamics is associated with the active unwinding of the sanctions spiral. She claims that the market was quoting the possibility of a partial or complete stop in Russian gas supplies. A military operation on the territory of a transit country also affects the risks of damage to the gas transportation infrastructure.
“The sharp rise in prices is associated with concerns about the supply of Russian gas to the EU, where it occupies about 40-45% in the structure of natural gas imports. The movement could have been strengthened by a speculative factor, which explains the subsequent sharp drop in quotations,” says Igor Galaktionov, an expert at BCS World of Investments.
Комментарии