Commodities
Tensions Fuel Three-Year High in European Gas Prices
The price of natural gas at the European TTF hub in the Netherlands has broken above €75/MWh for the first time since February, reaching its highest level since early 2023.
This increase follows a wave of strikes by the US against Iran on Tuesday, which deepened investors' fears over further escalation between the two foes after a month of relative calm in August.
'The perception that this (conflict) is all going to be over by Christmas is fading fast,' said Mike Bell, head of market strategy at RBC BlueBay Asset Management.
The rise in oil and gas prices has put pressure on global bond and stock markets, reigniting concerns the global economy would face a period of prolonged inflation.