European natural gas prices retreated on Monday after logging a 7% weekly advance, as traders paused ahead of a U.S. Treasury announcement on new sanctions against Iran.
Benchmark Dutch front-month futures and equivalent British wholesale gas contracts each slipped 0.8%, paring gains that pushed prices to five-month highs earlier in the session. The prior week’s surge followed heightened tensions in the Middle East and raised concerns over potential supply disruptions from the Persian Gulf.
Brent crude futures eased roughly 1.5% to trade near $91.80 a barrel, unwinding part of the previous week’s 5% rally. The decline in energy markets came as investors awaited a 2:00 p.m. ET press conference by U.S. Treasury Secretary Scott Bessent, who is expected to detail measures targeting Tehran.
The U.S. has previously warned Iran of what it described as "the greatest financial offensive ever marshalled," escalating pressure amid regional geopolitical tensions. European gas prices had earlier reached their highest levels since March, reflecting market sensitivity to potential supply risks from the Persian Gulf region.
Analysts noted that the temporary pullback in gas and oil prices did not signal a fundamental shift in supply-demand dynamics, but rather reflected profit-taking after a sharp advance. The focus remains on Washington’s next steps and their potential impact on regional energy flows and pricing.
