Reignition
European gas prices are rising quickly in response to the escalating conflict in the Middle East. This morning Dutch TTF natural gas futures prices – a major benchmark – rose more than 20% to EUR 39 per MWh. With renewed tensions around the Strait of Hormuz – one of the world’s most critical energy corridors – natural gas shipments from big gas producers like Qatar are most likely disrupted. Despite the sharp price increase, natural gas prices remain relatively low compared to recent years. In 2022, during the energy crisis triggered by the war in Ukraine, Dutch TTF natural gas prices stayed above EUR 150 for several months. Higher natural gas prices tend to translate into higher electricity prices because gas-fired power plant acts as the marginal producer of electricity.
Source: ICE, Endex, March 2026.