What Happens If Europe Runs Out Of Gas?
The real test of Europe’s energy supply is here. As temperatures have started dropping on the continent in recent days, power prices spiked again, and the natural gas shortage could worsen in case the winter is colder than usual. There isn’t an immediate fix to the power and natural gas supply crunch, and the colder and longer the winter is, the worse the situation could become, analysts say. Currently, the only thing that could ease the pressure on tight energy supply in Europe is demand destruction in industries due to high natural gas prices, some note. Some have even said that gas stores could fall to zero this winter if cold weather abounds. Russia is fulfilling its contractual obligations with customers to send natural gas to Europe via pipelines, but it has not significantly raised additional supply amid … For more info go to https://bit.ly/3rjnOTS
Natural Gas Plunges 11% on Demand-Killing U.S. Weather Outlook
Natural gas futures plummeted 11% in the U.S. as forecasts shifted warmer through the middle of next month, allaying concern about tight domestic supplies amid a global shortage of the heating fuel. The expiration of the December contract last week amplified the market’s volatility. Prices closed 7.5% higher on Friday as traders rushed to close out bearish positions before the contract rolled off the board. Contracts for January delivery fell 62.3 cents to settle at $4.854 per million British thermal units in New York on Monday.Since late summer, volatility in gas prices has stayed well above the average for the past decade even after a drop from last month’s peak as traders try to gauge whether winter cold will strain inventories. Late-autumn cold in Europe and Asia has sparked fears that… For more info go to https://bloom.bg/3ruK6ls