European natural gas futures fell more than 3% to around €38.4 per megawatt hour, pulling back from a 12% rally over the previous two sessions as geopolitical risk premiums eased. Prices retreated after President Donald Trump said he would refrain from imposing tariffs on European countries opposing his plans to take control of Greenland, reducing fears of an escalation in US EU trade tensions. Trump said a framework for a future deal had been discussed following a meeting with NATO Secretary General Mark Rutte, although no details were provided. The EU sourced 27% of its total gas and LNG imports from the US in 2025, up from 6% in 2021. Despite the pullback, market conditions remain tight as US gas flows have been diverted from LNG export facilities to meet strong domestic demand during an Arctic blast, while colder weather in Asia has intensified competition for LNG cargoes. In Europe, gas storage has fallen to about 48.4% full, well below roughly 59.3% a year ago.
