Pricewatch l 10 Jul 2023 I Gas Matters Today

European natural gas prices ended the week with an increase on Friday, as competition with heatwave-stricken Asia accelerates.

TTF saw a 4.4% rise to USD 10.76/MMBtu and NBP rose 4.3% to USD 10.51/MMBtu. JKM remained almost flat, rising 0.1% to USD 12.09/MMBtu.

According to Energi Danmark, the heatwave in Asia was the reason for the rises in European benchmarks, as Europe had to raise prices in order to keep attracting LNG to the continent.

It added: “The prospect of LNG competition from China has previously led to price jumps in Europe, but so far, the market remains relatively calm, and we expect a neutral development or modest price climbs Monday.”

In the US, Henry Hub witnessed a 1% fall to USD 2.58/MMBtu. This came amid a reported gas injection for the week ended 30 June up 72 Bcf to 2,877 Bcf.

In oil, prices advanced by over 2% to a nine-week high as supply concerns and technical buying outweighed fears that further interest rate hikes could slow economic growth and reduce demand for oil, Reuters reported.

Brent rose 2.5% to USD 78.47/barrel, and WTI saw a 2.9% increase to USD 73.86/barrel.

Front-month futures and indexes at last close with day-on-day changes (click to enlarge): Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights.