22.01.202610:01:51UTC+00TTF Prices Snap 2-Day Rally

European natural gas futures saw a decline of over 3%, settling at approximately €38.4 per megawatt-hour. This drop occurred after a significant 12% increase in the previous two sessions, as the geopolitical risk premium lessened. The decline came in the aftermath of a statement by President Donald Trump, who assured that he would not impose tariffs on European nations opposing his interest in acquiring Greenland, which alleviated fears of rising US-EU trade tensions. Trump mentioned that a framework for a prospective agreement was discussed during his meeting with NATO Secretary General Mark Rutte, although specific details were not disclosed. The European Union sourced 27% of its total gas and LNG imports from the United States in 2025, an increase from 6% in 2021. Even with the recent price reduction, market conditions remain stringent. This is due to US gas supplies being rerouted from LNG export facilities to satisfy robust domestic demand caused by an Arctic chill. Additionally, colder weather in Asia has escalated the competition for LNG shipments. In Europe, gas storage levels have decreased to roughly 48.4% of capacity, a noticeable drop from around 59.3% at the same time last year.