Investing.com – Prices in Europe were volatile as US President Donald Trump lifted a temporary moratorium on new export licenses, reducing uncertainty about global supply in the long term.
Dutch front-month futures, which serve as a benchmark for European gas, saw a slight rise of 0.3% to €48.00 per megawatt-hour by 8:32 a.m. in Amsterdam. This followed gains of more than 2% in the previous session, indicating a swing in benchmark futures.
The US President has canceled restrictions imposed by his predecessor, paving the way for new applications for permits to export liquefied natural gas from the United States. Trump also repeated his appeal for the European Union to buy more American oil and gas to avoid tariffs. The United States is already the largest supplier of liquefied natural gas to Europe.
According to a report released by the International Energy Agency on Tuesday, Europe's LNG imports could rise by more than 15% in 2025, after falling last year. However, the balance in the global gas market remains delicate.
Since the energy crisis that broke out three years ago, Europe has succeeded in diversifying its sources of supply. However, the current heating season has highlighted its vulnerability.
Cold weather, after two relatively mild winters, has depleted gas reserves faster than usual. As a result, gas prices in Europe remain high, prolonging the period of discomfort for consumers.
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