Energy Market Update 10/02/2026

Welcome to our weekly energy market update, where we share the latest trends, shifts, and key developments impacting the energy sector. Whether it’s fluctuations in oil and gas prices, changes in renewable energy policies, or updates on energy infrastructure projects, we’re here to help you stay informed. Join us as we break down the most important factors influencing the market this week, and explore what these changes could mean for your business.

Current Market Drivers:

📉 US gas futures fell sharply, down around 30% last week, as weather conditions normalised and near-record LNG feedgas flows signalled ample export supply. This has improved expectations for US cargo availability and eased European supply concerns.

🌬️ The International Energy Agency (IEA) expects EU electricity demand to recover slowly, not returning to pre-2022 levels until 2028, while rapid solar and wind growth curbs fossil generation, shaping softer longer-dated power and EUA expectations.

🚢 There are indications Europe could take a larger share of Qatari LNG post-2030 as Qatar expands capacity from 77 mtpa to 142 mtpa, supporting diversification away from Russian gas and heavy reliance on the US. However, policy and contracting hurdles remain.

📈 Lower EU gas storage inventories, currently around 37%, and faster withdrawals lifted European gas benchmarks to a ten-month high, leaving prices more weather-sensitive and supporting the curve on summer refill risk.

🏭 Asia’s manufacturing activity improved in January, with Japan, South Korea and China returning to expansion as export orders strengthened despite US tariffs, supporting macroeconomic sentiment globally.

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