Pricewatch | 01 Dec 2021 | Gas Matters Today

Only Subscribers can read the full Article

It was a bearish end to November, with crude prices falling back again on concerns over the ability of existing Covid-19 vaccines to effectively protect against the Omicron variant, while gas prices in Europe settled lower as temperatures were expected to be milder than average for a couple of days.

Brent closed at USD 69.23/barrel, down 5.7% on the day, while the WTI settled at USD 66.18/barrel, a 5.4% drop.

As some governments accelerate the rollout of booster jabs and impose new restrictions to combat the spread of the Omicron variant, which is thought to be more transmissible than other Covid-19 variants but to cause milder symptoms, the manufacturers of vaccines appear divided over their effectiveness against the new variant, which has weighed on trading sentiment.

On Tuesday, the CEO of Moderna, Stephane Bancel, predicted that existing vaccines will struggle with Omicron, but Ugur Sahin, the boss of BioNTech, which manufactures the Pfizer vaccine, said he was not “particularly worried” and that he was only concerned over “the fact that there are people that have not been vaccinated at all.”

Meanwhile, gas prices in Europe posted marginal losses on Tuesday, with the front-month Dutch TTF contract shedding just 24 cents to close at USD 30.61/MMBtu, while the UK NBP was down 38 cents to USD 31.57/MMBtu.

After wintry condition experienced by many parts of Europe in recent days, temperatures were forecast to be slightly milder than normal on Wednesday, but were expected to return to below average levels on Thursday.

In Asia, the JKM also fell back slightly, by 31 cents, to USD 35.95/MMBtu.

Front-month futures and indexes at last close with day-on-day changes (click to enlarge):

Time references based on London GMT. Brent, WTI, NBP, TTF and EU CO2 data from ICE. Henry Hub, JKM and API2 data from CME. Prices in USD/MMBtu based on exchange rates at last market close. All monetary values rounded to nearest whole cent/penny. Text and graphic copyright © Gas Strategies, all rights.

Subscription Benefits

Our three titles – LNG Business Review, Gas Matters and Gas Matters Today – tackle the biggest questions on global developments and major industry trends through a mixture of news, profiles and analysis.

LNG Business Review

LNG Business Review seeks to discover new truths about today’s LNG industry. It strives to widen market players’ scope of reference by actively engaging with events, offering new perspectives while challenging existing ones, and never shying away from being a platform for debate.

Gas Matters

Gas Matters digs deep into the stories of today, keeping the challenges of tomorrow in its sights. Weekly features and interviews, informed by unrivalled in-house expertise, offer a fresh perspective on events as well as thoughtful, intelligent analysis that dares to challenge the status quo.

Gas Matters Today

Gas Matters Today cuts through the bluster of online news and views to offer trustworthy, informed perspectives on major events shaping the gas and LNG industries. This daily news service provides unparalleled insight by drawing on the collective knowledge of in-house reporters, specialist contributors and extensive archive to go beyond the headlines, making it essential reading for gas industry professionals.

Did you know that your Internet Explorer Browser is out of date?

Your MS Internet Explorer browser is out of date, and will not be fully compatible with our website. For best browsing experience we recommend that you upgrade your IE browser to a more recent version or use an alternative, more recent browser.