Lhe Russian president met German Chancellor Olaf Scholz on Tuesday and then declared that a diplomatic solution to the conflict between him and Ukraine was still possible. Moscow also announced a partial withdrawal of its troops from the Ukrainian border. The German Chancellor also received confirmation from Russia that it would remain a reliable energy supplier.
These various declarations eased the pressure on the gas market and pushed prices down. Just after the announcement of the partial withdrawal of Russian troops on Tuesday evening, the price of gas had fallen by almost 10% in Europe. On Wednesday morning, the price of a megawatt hour of gas also fell on the Dutch futures market – a benchmark in Europe – to 67 euros. This is the lowest price since early November. Electricity prices are also falling, given the mild temperatures and the strong wind that allows wind power to operate at full speed.