The European gas market was calmer on Thursday after some sharp price jumps earlier in the week.
TTF rose by 3.1% to USD 8.51/MMBtu, while NBP saw a 2.6% lift to USD 7.95/MMBtu. According to Energi Danmark, supply concerns regarding both LNG and intercontinental gas overshadowed the relatively low demand seen at the moment.
Meanwhile, JKM continued showing little change, with the front-month contract down 0.3% to USD 9.21/MMBtu. Japanese LNG imports reportedly dipped by 30% to 4 mt in May, their lowest in 20 years, as efforts to save energy and boost nuclear power reduced the need for the fossil fuel.
Henry Hub increased by 1% to USD 2.35/MMBtu with lighter production and forecasts for mounting demand pushing prices up, but it was held in check after a triple-digit storage injection.
In a government storage report, the EIA indicated that working gas in storage increased by 104 Bcf in the week ending 2 June, compared to analyst estimates of over 113 Bcf – still above the five-year average.
Meanwhile, oil prices settled lower on Thursday but rebounded from earlier losses after the US and Iran both denied a report that they were close to a nuclear deal, according to Reuters.
Brent fell 1.3% to USD 75.96/barrel, while WTI decreased 1.7% to USD 71.29/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.