European Gas Prices Drop as Goldman Sees Fuel-Switching Floor

  • Benchmark futures approach lowest level in two years
  • Lower prices could spur switch from coal in power generation
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European natural gas neared a two-year low as weak industrial demand and ample supplies weigh on prices, with Goldman Sachs Inc. seeing the possibility of a floor in the mid-€20 range.

Benchmark futures fell as much as 4.2% on Monday, dipping briefly below €29, to the lowest level since mid-June 2021. On Friday, the contract posted its seventh straight weekly loss, the longest such streak in six years.