European natural-gas prices declined in early trading on Wednesday, with the benchmark Dutch TTF contract falling 1.3% to €33.96 per megawatt hour.

The price drop comes as Europe makes significant progress in building gas reserves ahead of peak demand periods. According to the latest data from the Gas Infrastructure Group, storage injections increased last week by the largest amount since June.

European Union gas storage facilities were nearly 70% full as of Monday, official data indicates. This storage buildup is helping maintain stable gas prices across the continent.

“Europe is racing to store enough gas for its peak demand period,” analysts at ANZ said. “That’s helping keep European gas prices in check despite risks persisting.”

Despite the positive storage situation, market participants remain cautious about potential disruptions to Russian gas supplies, particularly if the United States implements stricter sanctions against the Kremlin.
Source: Investing.com