European Gas Prices Near 4-Week Highs

European natural gas futures hovered around €48 per MWh, close to a four-week high, as fighting intensified between the US and Iran around the Strait of Hormuz, which also drew in the UAE. The US said it struck seven Iranian fast boats in the strait and denied Iran’s claim that it had hit American warships. Meanwhile, the UAE said it intercepted multiple Iranian drones and missiles, and a fire broke out in Fujairah following an attack, marking the first reported Iranian-linked strike since a fragile ceasefire took hold in early April. The key waterway has been effectively closed for the past two months, cutting roughly one-fifth of global LNG supply. European gas prices have climbed about 40% since the war began, as the blockage tightened global supply and increased competition for cargoes, though prices have eased from peak levels amid reduced imports from some Asian buyers.