European natural gas spot prices continue to rise and fall?

According to a report by CNN on the 26th, due to sanctions against Russia, European countries have been buying natural gas on a global scale since the summer to cope with the coming winter. Recently, however, the European energy market has been oversupplied with the massive influx of liquefied natural gas tankers into European ports, with long queues for tankers unable to unload their cargo. This caused the spot price of natural gas in Europe to drop into negative territory earlier this week, to -15.78 euros per MWh, the lowest price ever recorded.

     European gas storage facilities are nearing full capacity, and it takes a long time to find buyers

     Data show that the average natural gas reserves in EU countries are close to 94% of their capacity. It could be a month before a buyer is found for the gas backlogged at ports, the report said.

     At the same time, while prices may continue to rise in the near term despite their continued declines, European house prices were 112% higher than the same period last year when they continued to rise per meg. Some analysts said that by the end of 2023, the price of natural gas in Europe is expected to reach 150 euros per megawatt hour.