Lower Natural Gas Price Is Not All Good News For Europe

Europe successfully avoided a gas shortage crisis this winter thanks to high LNG imports, reduced demand, and milder weather. As a result, European natural gas prices have fallen to the levels from January 2022, just before the Russian invasion of Ukraine. This week, the front-month futures at the TTF hub, the benchmark for Europe’s gas trading, hovered around $47 (43 euros) per megawatt-hour (MWh), down from over $142 (130 euros) at the start of the 2022/2023 winter heating season and from the record-high of $350 (320 euros) per MWh…