Europe runs out of gas: Threat of energy crisis with price spikes and stockpiles – Why Russia and Gazprom close the taps
The threat of an energy crisis, sparking a spike in gas prices, is shadowing Europe in the face of winter, with market experts sounding the alarm and households and businesses already facing the new major pandemic challenge.
Gas prices are breaking record highs in the last two months and, especially in Europe, have now exceeded $ 15 per million Btu amid severe shortages and reduced imports from Russia.
Danger signal for industry
These explosive increases further fuel inflation and, as Bloomberg points out, raise fears that many highly energy-dependent industries, from steel and fertilizers to food producers, will be forced to cut production.
“High gas prices are a problem for Europe,” Francesco Starace, CEO of Enel, the Italian energy giant, told Bloomberg.
The price spike peaked in the summer months despite low seasonal demand. This is because the prolonged and heavy winter of lockdowns has depleted stocks which are at the lowest level of the last decade and more.
Stock deficit and inflation boom
“We are fighting to make up for the summer deficit. “Everything will depend on how heavy this winter will be,” the CEO of the Austrian energy group OMV warned this week.
The explosion in energy prices has already pushed inflation in Germany to 3.4% and at its highest level since 2008, while the cost of electricity has risen to a similar record across Europe. The price of electricity is now only half a cent away from an all-time record.
⚫PATREON
Join Our Patreon Community and help support this channel…If you want to 😊, or you can just hit the LIKE button which really helps me. Thank you!
https://www.patreon.com/bullmarketwatch
⚫FACEBOOK
https://facebook.com/groups/659635791621800/
⚫TWITTER
Tweets by watch_ipo
⚫BLOGGER
https://kjselections.blogspot.com/
🔥 Disclaimer: Everything expressed in this video is a personal opinion provided for entertainment value only. I am not a professional nor a financial advisor. These are not instructions, suggestions, nor directions as to how to handle your money. Please, always do your own due diligence.