The plunge is a bad omen for drillers, whose shares were among the stock market’s few winners last year. Cheaper gas is good news for households and manufacturers whose budgets have been busted and profit margins pinched by high fuel prices. Falling natural gas prices should help to cool inflation in the months ahead.
There are also major geopolitical implications. Mild weather is driving gas prices lower in Europe, spelling relief for the region that coming into the winter faced the possibility of rolling blackouts and factory shutdowns. The war threw energy markets there into chaos, but natural gas prices in Europe have nearly halved over the past month to levels last experienced shortly before Russia’s invasion.Natural-Gas Prices Plunge as Unseasonably Warm Weather is Forecast – WSJ