Mixed LNG price outlook as TTF faces upside on Norwegian outages, Asian LNG slips on weaker Chinese demand, HH slightly bearish

Market & Trading Calls

European TTF price outlook: Slightly bullish as some uncertainty around Norwegian pipeline flows lingers on and sustained competition with Asia could pull prices upwards

Asian LNG price outlook: Slightly bearish next week as softening demand in China and Thailand outweighs lingering supply risks in Indonesia and Malaysia, though a recent US court ruling could offer limited upside support.

Asian LNG – TTF spread: Narrow with Asian LNG bearish and TTF facing upward pressure next week. As a result, we expect Asian LNG will continue to retain a slight premium over TTF. As of 28 May, the Asian LNG price traded at a $0.30/MMBtu premium to TTF.

US Henry Hub price outlook: Slightly bearish as weak near-term demand, flat production, and robust storage injections put downward pressure on prices. As temperatures warm in the middle of next week, prices could see some upward support, especially if weather models continue to project a hot July.