European natural gas plunged after the US and Iran agreed to a two-week ceasefire that could temporarily reopen the vital Strait of Hormuz and ease strained global energy markets.

Oil and gas prices both plummeted after the US and Iran agreed to a two-week ceasefire deal aimed at halting the American-Israeli military campaign, with the White House announcing the US would hold direct talks with Iran in a bid to end the six-week conflict.

Funds and other speculators boosted their net long positions in European natural gas to a record high before this week’s selloff in energy markets.

European natural gas futures resumed gains as traders watched the US and Iran exchange threats over the Strait of Hormuz, adding nervousnesses to an already volatile market.

Oil and gas markets have been rocked by disruption to supply out of the Persian Gulf. Prices of both commodities have jumped since the US and Israel began their strikes on Iran.

Oil and European natural gas prices surged after Iran carried out an attack on a major LNG site in Qatar, after earlier warnings from Tehran on threats to energy facilities across the Gulf.

European natural gas posted a weekly decline as traders try to assess how the Iran war will unfold and affect global energy supplies after the initial shock for LNG markets was priced in.

European natural gas futures traded in a narrow range as traders weighed Iran’s comments on the vital Strait of Hormuz, assessing the outlook for energy shipments from the Middle East.

The UK added some natural gas into its storage sites in recent days, as a price surge triggered by the Middle East conflict attracted imports.

European natural gas dropped after US President Donald Trump predicted the Iran war will end soon, as he faces mounting pressure over how the conflict has upended energy markets.

Qatar appears to have loaded its first liquefied natural gas cargoes after the widening conflict in the Middle East forced it to halt fuel production and declare an unprecedented force majeure to buyers.

European natural gas prices resumed this week’s rally as the escalating conflict in the Middle East amplified uncertainty about disruptions to energy flows.

European gas’s biggest rally in four years came to an abrupt halt as traders weighed US moves in the Middle East that could potentially ease pressure on the market.

European natural gas prices spiked to the highest since 2023 amid uncertainty over how long the shutdown at the world’s largest LNG export plant in Qatar will weigh on global energy supplies.

Qatar shut LNG production at the world’s largest export facility after it was targeted in an Iranian drone attack, sending European gas prices surging as much as 54%.

European natural gas surged after fighting across the Middle East raised fears of a major disruption to global energy supplies, with traders watching how long ship traffic through the Strait of Hormuz will remain halted.

Natural gas exports from the UK to continental Europe in February rose to the highest level for this time of year since 2023, as the country benefited from ample supply and milder weather.

European natural gas futures hit a five-week low as the weather outlook shifted milder, potentially easing strains on rapidly depleting fuel inventories.

Europe’s reliance on its two biggest providers of LNG surged to a record last month, stoking concern that the region is still failing to diversify.

Diversifying away from American LNG imports won’t be easy