European Energy Prices Fall as Mild Winter Crimps Demand

  • Gas storage levels almost unchanged over previous three weeks
  • US sellers of LNG favoring Asian destinations over Europe

Gas pipes at the Radeland 2 compressor station on the European Gas Pipeline Link in Radeland, Germany, on Jan. 9.

Photographer: Krisztian Bocsi/Bloomberg
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European energy prices fell as warmer-than-usual temperatures curb demand for heating.

Benchmark natural gas futures declined as much as 6.5%, while power prices also moved lower. Mild weather has reduced pressure on the region’s gas inventories, with storage levels roughly steady over the past three weeks, at a time of year when countries normally tap their reserves.