Caricatures and drawings on Forex portal

Gas prices in Europe flying to Moon in January

Open trading account

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Gas prices in Europe flying to Moon in January

Offer your friend to read

By early 2025, gas prices on European exchanges have surged to elevated levels. According to data from the London ICE Futures exchange, on the last day of 2024, December 31, gas prices reached their highest level of the year. The last time such a value was recorded was on November 27, 2024. So, the price of natural gas spiked to $536 per 1,000 cubic meters.

The rally in commodity prices is driven by the cessation of Russian gas transit through Ukraine. This measure took effect on January 1, 2025. Notably, on early December 31, gas prices climbed another 4%.

The transit of Russian gas to Europe through Ukraine officially ended on January 1 of this year. By that time, the five-year contract between Gazprom and Naftogaz, signed on December 30, 2019, had expired.

Meanwhile, the commodity market is affected by the doom and gloom. Experts underscore that neither Naftogaz nor the Gas Transmission System Operator of Ukraine is interested in extending a long-term agreement with Gazprom.

Back