European natural gas prices continued declining Monday to the lowest point in three months on mild weather forecasts and reports of heightened storage, despite threats from Russia of a complete end to pipeline exports.

After a brief mid-week jump last Wednesday (Oct. 12), natural gas linked to the Dutch Title Transfer Facility (TTF) benchmark continued October’s downward trend as European Union storage levels reached above 92% of capacity. Monday marked the fourth consecutive day of declining prices, with the TTF dropping below $40/MMBtu for the first time since June.

“The situation is attributed to several countries in Europe announcing that the supply picture is healthy ahead of the upcoming winter, while mild and windy weather means that demand has not really started to rise...