Commodities
Hormuz Strait Tensions Spark European Gas Price Surge
European natural gas prices surged to their highest level since January 2023 on Wednesday, reaching around €74.5 per megawatt hour as traders grew increasingly concerned about supply disruptions.
The increase was largely driven by fears over traffic through the Strait of Hormuz, a key energy route, after the US launched airstrikes on targets in Iran and Tehran retaliated.
Iran's Islamic Revolutionary Guard Corps warned that the US strikes would further restrict traffic through the strait, which carries roughly one-fifth of global LNG shipments.