FX.co ★ UK Natgas Prices Hit 5-Week Low

UK natural gas prices dropped more than 5% to about 106 pence per therm, the lowest level in five weeks, after the United States and Iran reached a peace agreement. Officials from both countries confirmed they had settled on a framework to end hostilities, lift the US blockade on Iranian ports, and reopen the Strait of Hormuz, a crucial shipping corridor that handles roughly one-fifth of global oil and LNG trade. The agreement is scheduled to be formally signed in Switzerland on June 19. The reopening of the strait is expected to restore LNG shipments from the Persian Gulf, easing supply concerns that have kept gas prices in Europe and Asia elevated for over three months.