TTF Extends Decline as Warm Weather Eases Tight Market

TTF extends the decline back below 45€/MWh with a warm weather forecast easing the tight supply concerns due to French strike disruptions. Front month rallied from a low of around 40.6€/MWh last week to a peak of 53€/MWh due to the industrial action in France.

• The French strikes continue to cause supply disruption and potential higher natural gas demand. French strikes have caused LNG delays and diversions while also limiting nuclear generation to put more pressure on gas demand.
• The return of milder weather and healthy wind generation has eased pressure on European LNG supplies and storage withdrawals.
• To help ease future European supplies, Azerbaijan plans to start exporting natural gas to Hungary by the end of the year. The country announced plans to export a total of 12bcm of gas to Europe this year.
• The EU will announce the next steps in the joint gas purchasing process on Wednesday with previous plans to launch the first tender in April.
  • TTF APR 23 down -10.5% at 44.4€/MWh
  • TTF SUM 23 down -9.6% at 45.43€/MWh
  • TTF WIN 23 down -8.1% at 52.37€/MWh
  • TTF SUM 24 down -7.9% at 49.13€/MWh