Goldman Sachs: Europe Needs Higher Gas Prices Amid Hormuz Crisis

According to Goldman Sachs, European natural gas prices need a substantial increase by December to ensure adequate winter inventories, especially if the Strait of Hormuz crisis continues to elevate Asian spot LNG prices. Europe is currently losing the competition with Asia for spot LNG supply due to spiking prices and reduced Qatari term volumes amid the Middle East crisis. This intensified competition comes as Europe attempts to build natural gas inventories for the upcoming winter. Persistent high energy prices, fueled by geopolitical tensions, could bolster gold's appeal as a safe-haven asset and potentially influence global inflation, indirectly impacting the USD/PKR.

بحوالہ / Source: oilprice.com