ING says LNG flows lag oil, leaving gas vulnerable during heating season

European natural-gas prices rebounded on November 3 after the benchmark Dutch TTF contract settled more than 8% lower in the previous session.

At 0916 GMT, the contract was up 3.6% at 98.25 euros a megawatt-hour in early trading.

Investors were weighing fresh U.S. strikes on Iran against diplomatic efforts to end the conflict.

The fresh U.S. strikes on Iran followed President Trump’s comments playing down the possibility of a return to war with Iran after Tuesday’s midterm elections.

ING’s analysis focused on regional LNG flows and their comparison with oil flows.

“For the gas market, de-escalation is crucial, as LNG flows from the region haven’t recovered as much as on the oil side,” analysts at ING say.

The analysts’ second observation focused on the seasonal setting: “This leaves the market vulnerable as it heads deeper into the European heating season.”

The ING comments identified de-escalation, the pace of regional LNG recovery and Europe’s heating season as conditions that could leave the gas market vulnerable.

The early gain followed a more-than-8% prior-session decline. TTF was trading at 98.25 euros a megawatt-hour as investors weighed fresh U.S. strikes on Iran against diplomatic efforts to end the conflict. ING’s analysis separately focused on regional LNG flows and their comparison with oil flows.

Energy, refining and Iran developments

The Wall Street Journal reported that U.S. natural gas futures rose after three straight weeks of declines. In another brief, the outlet said, “The deal comes as global conflicts have boosted U.S. refiners’ sales.” The outlet also said America’s Gulf allies were preparing for new strikes on Iran.

Company and technology updates

Binance resumed withdrawals after a crypto hack, The Wall Street Journal reported. The outlet also reported that autonomous trucks are going electric.

In another company update, the outlet said the company’s shares fell as new CEO John Ternus warned that margins may weaken in future quarters. The outlet also reported that Anthropic’s investors were pushing for a more cautious valuation.

Pensions, equities and real estate

The Wall Street Journal assessed that governments in the region are straining to honor the entitlements of future pensioners, threatening a fragile generational contract.

European stock indexes were mostly lower at the open as investors recalibrated after last week’s strength, according to The Wall Street Journal.

The outlet also reported that a Wilmington residence on the Intracoastal Waterway was among this year’s priciest sales in the state.