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TTF Extends Decline As Temperatures Keep Demand Low

NATURAL GAS

TTF extends the decline to lose 7% today and all gains seen yesterday.

  • The weather forecast continues to show little sign of cold weather with just a dip back to near normal in NW Europe after the middle of the month.
  • Storage levels remain high with limited storage withdrawals. Concern for the ability to replenish EU stock levels during the upcoming summer is keeping the Sum23 contract above the front month.
  • Risks to supply are limiting the downside with spreads favouring LNG spot diversions to Asia but high terminal storage levels in Asia, weak Chinese demand and warm weather in Japan are limiting the impact.
    • TTF FEB 23 down -7.1% at 69€/MWh
    • TTF SUM 23 down -7% at 71.69€/MWh
    • TTF WIN 23 down -6.2% at 76.95€/MWh
    • TTF SUM 24 down -3.7% at 69.05€/MWh
    • TTF WIN 24 down -2.9% at 69€/MWh

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