News of an agreement between Ukraine and Azerbaijan pushes down gas prices

The announcement by Reuters that an agreement had been reached between Ukraine and Azerbaijan to deliver Azeri gas to Europe via Ukraine sent prices plummeting. The price of the TTF 2025 Calendar fell by nearly €5/MWh in just a few minutes, from €38.4 to €33.6/MWh, before climbing back to €34.5/MWh at the close. However, the Ukrainian and Azeri energy ministries indicated that no agreement had yet been signed. For its part, the European Commission took the view that the non-renewal of the transit agreement between Ukraine and Gazprom did not pose a threat to Europe's security of supply, and that it could not be ruled out that Russian gas flows through Ukraine would continue despite the non-renewal of the transit agreement.