Gas futures traded near the $400 level per thousand cubic meters on June 26, marking an intraday rise of about 8% from the session’s opening. Traders cited growing concerns about the situation in Russia, a factor that has kept volatility elevated in the European gas market. The reporting agency Bloomberg, drawing on data from the London-based ICE market, highlighted the sharp move as the day unfolded.
In afternoon trading, the European gas complex continued to show strength, with the July contracts on the Dutch TTF hub climbing more than 8% from the dawn level to around $420 per thousand cubic meters. By 12:00 Moscow time, however, momentum eased somewhat, and front-month futures hovered near $400 per thousand cubic meters, suggesting a pause in the overnight surge.
The Bloomberg briefing emphasized that the price bounce was provoked by persistent worries about the geopolitical backdrop surrounding Russia, including weekend developments that fueled risk aversion among gas traders. Market observers noted that the possibility of further supply disruptions or policy responses could sustain volatility, leaving price paths susceptible to news flow related to the Wagner PMC situation and broader regional dynamics.
In a separate industry assessment, the London-based ratings landscape was also in focus. Fitch Ratings provided projections for European gas pricing in 2023, estimating the average natural gas price in the regional energy market near $12 per thousand cubic meters, equivalent to about $423.60 per thousand cubic meters. The same note suggested that 2024 could see a downward drift, with expectations for average prices around $10 per thousand cubic meters. These baseline forecasts underscore the tension between current spot-market spikes and longer-term price trajectories as LNG supply, storage levels, and geopolitical risk continue to shape expectations for European gas affordability and energy security. [Attribution: Fitch Ratings commentary; market observations from the European gas trading community]