# Glut in LNG to push European gas prices through coal floor

> Societe Generale expects rising global LNG supply, especially US output ramping through 2018 and 2019, to push European gas prices below the coal-switching floor. Fuel switching in Western European power will be set by short-term gas prices, which track the variable cost of shipping US LNG to Europe.

- Date: 2017-08-15 · published 2017-08-15T12:00:00.000Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/69634-glut-in-lng-to-push-european-gas-prices-through-coal-floor
- Commodities: [Natural Gas](https://feedsoft.ai/c/NATGAS.md)

## Why it matters

A structural LNG glut would keep European gas prices low and reduce demand for competing fuels, which is bearish for gas pricing and gas-linked markets.

## Read by commodity

- NATGAS: bearish ▼

## Sources

- lngjournal.com: https://lngjournal.com/index.php/latest-news-mainmenu-47/item/92249-glut-in-lng-to-push-european-gas-prices-through-coal-floor

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.