European gas prices surge 30 percent on Mideast war

PARIS

European gas prices soared as much as 30 percent on March 9 as the Middle East war roiled energy markets and spurred fears of prolonged supply disruptions.

The Dutch TTF natural gas contract, considered the European benchmark, jumped to 69.50 euros, before paring gains slightly.

Despite the surge, the price remained below the level it reached in 2022 at the outbreak of the war in Ukraine.

Meanwhile, world shares tumbled after oil and gas prices surged.

Japan's Nikkei index of stocks closed down more than five percent and South Korea's Kospi by six percent on March 9. 

Investors, already spooked by concerns over extended tech valuations and the huge spending on AI, ran for the hills as crude rocketed to its highest level since the Russian invasion of Ukraine in 2022.

The prospect of high energy prices for a sustained period has fanned fears of a fresh spike in inflation that could hit the global economy while preventing central banks from cutting interest rates to support growth.

With the prospect of the global economy taking a blow from the crisis, equity markets extended last week's losses.