European Gas Prices Rise

European natural gas futures rose near €47 per MWh, rebounding after a sharp decline last week as uncertainty persisted over a potential US–Iran agreement. Both countries traded messages proposing changes to a draft deal intended to extend their ceasefire and reopen the Strait of Hormuz, although it remained uncertain whether the talks were advancing meaningfully. Tensions in the wider region also escalated, with Israel and Iran-backed Hezbollah in Lebanon exchanging heavy cross-border strikes, while an Iranian ballistic missile struck a Kuwaiti air base. The Strait has remained largely closed for three months, and the prolonged disruption has heightened concerns that Europe face difficulties rebuilding already relatively low gas storage levels ahead of the winter.