European Gas Prices Erase Almost a Quarter of Value in July

  • Storage levels, weak demand curbing prices, but risks remain
  • Prices had surged in June on heat and unexpected outages

A gas meter in Corbera De Llobregat, Spain. 

Photographer: Angel Garcia/Bloomberg
Lock
This article is for subscribers only.

European natural gas posted one of the biggest monthly drops this year as depressed industrial activity and strong inventories offset concerns about a spike in summer cooling demand.

Benchmark contracts declined 24% in July. Prices have plummeted about 63% this year, even after surging in June as heat blanketed parts of Europe and unexpected outages in Norway sparked worries about drawing down supplies before winter.