European natural gas rose to a four-year high, topping €97/MWh for the first
time since 2022, as concerns mounted over a fragile supply–demand balance this
winter and the outlook for Middle East hostilities. Benchmark European gas
futures extended last week’s gains in Monday morning trade, at one point up
3.5%. Traders expect heating demand to pick up in coming days as weather turns
colder across much of Europe next week, even as the Nordics remain relatively
mild. Tight global gas supply combined with elevated Persian Gulf tensions and
ongoing supply interruptions is increasing the risk of competitive buying with
Asian buyers and reducing hopes of near-term relief. While prices remain well
below the peak of the prior energy crisis, the latest rally could add upward
pressure on inflation and weigh on economic activity.
