European wholesale gas price falls on hopes for Biden-Putin talks over Ukraine

The price of gas and oil have risen in recent months driven by shortages as well as the crisis over Ukraine.

European wholesale gas prices fell sharply and global oil slipped after US President Joe Biden agreed to a proposal for a diplomatic summit with his Russian counterpart Vladimir Putin.

The White House has accepted the French proposal for the talks on the condition that Russia doesn’t invade Ukraine, US officials said last night. There was no immediate confirmation from the Kremlin. Moscow continues to deny it plans to invade Ukraine.

The price of gas and oil have risen in recent months driven by shortages as well as the crisis over Ukraine.

Russia is a major supplier of gas and oil.

The price of European wholesale gas for March fell by over 4% lower on Monday to €69.80 per megawatt per hour. Brent crude also eased.

The proposed meeting offers fresh hope for a peaceful solution to the standoff that’s affecting prices of everything from energy, metals and food to equities and currencies. Traders and European policymakers are keeping a particularly close watch on Russian gas flows amid an energy crunch that’s sent prices quadrupling over the past year.

Bloomberg and Irish Examiner