Trump reported progress in negotiations with Iran, gas and oil prices fall
U.S. President Donald Trump announced significant progress in negotiations with Iran, leading to a drop in natural gas and oil prices on international markets.
According to Trump, talks between the U.S. and Iran are currently proceeding orderly and constructively, and relations between the countries are improving, becoming more professional and productive. This statement contributed to the decrease in world energy prices.
According to a Bloomberg report on May 25, the price of European natural gas in Asian trading decreased amid optimism about a potential agreement that could allow the unblocking of the Strait of Hormuz. Futures for gas with next-month delivery fell by 5.9% to 45.81 euros per megawatt-hour.
A similar trend is observed in the oil market; Brent’s price lost over 5% and is currently trading around $95 per barrel. Analysts believe that concluding a deal between the U.S. and Iran could stabilize the geopolitical situation in the region, positively influencing the stability of oil and gas supplies, thus reducing market stress.
Despite these developments, Europe records record volumes of Russian liquefied natural gas (LNG) purchases. This factor also affects the reduction of gas prices in the region.
| Energy Resource | Price Change | Current Price |
|---|---|---|
| Natural Gas | -5.9% | 45.81 euros/MWh |
| Brent Oil | -5% | $95 per barrel |
