The price of gas fell at the beginning of last week as concerns eased about the Kremlin’s demands that Russian gas be paid for in rubles.
In the current context, the market was predicting that the tensions over gas payments would be resolved without causing a cut in supply. Milder weather conditions also contributed to lower demand, accentuating the fall in prices.
The price of oil was unstable last week, fluctuating as a result of forecasts of a possible EU embargo on Russian oil. At the start of the week, this scenario seemed less likely, leading to a fall in the price. However, on Wednesday, with the embargo still under discussion in the EU and after Saudi Arabia’s energy minister declared that OPEC+ (Organization of Petroleum Exporting Countries and allies) countries may not be able to increase their production levels in proportion to demand without increased investment, prices rose significantly again.
US prices, meanwhile, after following the fall in energy prices at the start of last week, rose again yesterday and today, with the market looking forward to the European Parliament’s vote on the revision of the EU ETS directive.
May 20th, 2022