The energy markets just got another shake-up. A minerals deal collapsing wasn’t on anyone’s radar, and now Europe is scrambling for a diplomatic solution, while also keeping the US onside. The result? More uncertainty, more volatility.
With energy prices already jumping 7% in early trading, we are bracing for potential disruptions.
Europe has relied heavily on US energy after turning away from Russia, so if Washington starts questioning its financial commitments (including NATO), we could see a major shift in transatlantic relations.
Gas markets seemed to be stabilising, but volatility is back. TTF and NBP prices ticking lower on Friday may not hold up if sentiment has already turned. EU gas storage is dipping, and with fewer LNG shipments expected, the supply picture is tightening.
The big question: How will the US respond? Will they push Europe to stay in line, or are we looking at another energy realignment?