European gas prices fall back to pre-Ukrainian war levels – Business Live | Business

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European gas prices have retreated to levels last seen before the Ukraine war erupted in February as fears of a gas crisis eased this winter.

The front-month European gas futures contract fell to 76.78 euros per megawatt-hour yesterday, the lowest level in 10 months, Refinitiv data showed.

As this chart shows, it was the lowest in 10 months, as natural gas prices retreated from a surge in March and fell back again during the summer as European countries scrambled to fill gas storage tanks.

Prices have fallen after the European Union managed to fill up reserves to almost 96% of their peak in November as demand for natural gas is limited due to above-normal temperatures this winter.

Consumption reduction targets are also helping to limit demand, with the EU aiming to reduce its gas consumption by 15%.

Earlier this week, data from the industry body showed that 83.2% of the EU’s gas storage has been filled European gas infrastructure showed that it was still higher than the 80% target set in early November.

“Traders are confident that inventories will end the winter at very comfortable levels and the risk of falling to critically low levels is very low,” he said. john kempEnergy Market Analyst Reuters.

UK gas prices have also retreated from their highs earlier this year. Gas prices recently closed at 155p/heat yesterday, compared to 200p/heat in early 2022 and more than 500p/heat in August.

debut today

The new president of the Trade Union Congress has warned the British government that there will be more strikes next year unless it enters negotiations on wage increases.

New TUC Secretary-General Paul Novak Saying “we must end the UK living standards nightmare” – exacerbated by rising energy costs – and accusing ministers of “undermining efforts to reach a settlement”.

told the Guardian, Novak It also warned that Labor would not be able to “turn on the spigot from day one” on public spending if it wins the next election.

He said:

“Who knows what economic mess Labor will inherit. From day one it has not been able to turn on the taps. It has not been able to fix our public services.

“What you can’t fix is ​​ignoring 12 or 13 years on day one, but you can set a very clear direction forward. No one believes you can fix our NHS, fix our NHS on day one of a Labor government. Schools, fix our civil service because you’re undoing years of neglect … but you can certainly start doing things that give confidence.”

Novak also said Prime Minister Rishi Sunak needed to find an “exit strategy” from the ongoing labor dispute to avoid escalation in the coming months, as he overestimated the widespread public strike against his “80s playbook”. method support,

Industrial action continued today, with border workers who are members of the PCS union going on strike at six airports.

PCS staff from the Driver and Vehicle Standards Agency in the West Midlands, Eastlands and East Midlands are also on strike today.

Rail was also disrupted, with members of the TSSA union on the Great Western Railways and West Midlands Trains ending a day-long strike at midday today.

agenda

• 8am GMT: Spain retail sales data for November

• 1.30pm GMT: US weekly unemployment data

• 4pm GMT: EIA weekly crude oil inventories data