Europe Gas-Prices ease from fresh 5-month high

In the European carbon market, the benchmark contract was up €0.21 at €82.63 per metric ton.

Benchmark Dutch and British wholesale gas prices eased on Friday afternoon after hitting a five-month high as liquefied natural gas (LNG) transit through the Strait of Hormuz remains curtailed and European gas storage levels are low.

The benchmark Dutch front-month contract at the TTF hub was down €1.52 at €66.75 per megawatt hour (MWh) by 1407 GMT, ICE data showed. It hit €70.09/MWh earlier in the day, its highest level since March 19.

The British front-month contract eased by 3.84 pence to 164.65 pence per therm, after hitting an intraday high of 172.90 p/therm.

"(There's) no major developments, but I guess that some traders don't want to risk their position over the weekend, now that gas is nearing technical limits," said Brainchild Commodity Intelligence analyst Klaas Dozeman.

The benchmark TTF contract's relative strength index had been approaching 70 according to ICE data, a technical threshold indicating a stock or commodity may be due for a downward correction.

Prices however remain supported by a lack of progress in talks between the U.S. and Iran.

"Unlike oil, which is still seeing some transit, very little liquefied natural gas (LNG) is currently making it out through the Strait of Hormuz," said Arne Lohmann Rasmussen, chief analyst at Global Risk Management.

QatarEnergy has already extended a force majeure suspension period on its LNG deliveries to Italian client Edison until early November.