2026.10.0103:22:52UTC+00European Gas Prices Fall After Sharp Rise

European natural gas prices slipped below €72/MWh on Thursday, reversing part of the more than 4% gain recorded the previous day, as traders focus on developments in the Middle East and the bloc’s gas storage position heading into winter. Since the start of the year, European gas prices have surged 157%, with ongoing uncertainty around the reopening of the Strait of Hormuz weighing on gas markets amid stalled US–Iran negotiations.

Storage levels across Europe stand at roughly 71% of capacity, well below the five-year seasonal average of 87%, while Germany’s inventories are just above 57%. Although some LNG cargoes from the Gulf have passed through the strait in recent weeks, the volumes remain too limited to significantly ease the global supply squeeze.

QatarEnergy has extended force majeure on LNG deliveries to Italy’s Edison until December, and Pakistan’s supply arrangements have been prolonged into November. On the demand side, weaker Chinese LNG appetite is providing some offsetting relief: Chinese imports are expected to decline for a second consecutive month, potentially releasing additional cargoes for European buyers.