A contagion effect from soaring natural gas prices in the European market is spilling over into other economies and other commodities.
The price for the November contract for Henry Hub, the US benchmark for natural gas, is above $5/mn Btu, the highest level since early 2010.
The price for West Texas Intermediate, the US benchmark for the price of oil, is at highs not seen since 2007.
State department spokesman Ned Price said during his regular press briefing October 14 that higher commodity prices warrant a shift toward a cleaner future.
- We...know that the high energy prices that we’re seeing right now really reinforce the need to advance the energy transition while continuing to safeguard against energy crises and price shocks going forward
The administration said October 15:
- Climate change poses a systemic risk to our economy and our financial system, and we must take decisive action to mitigate its impacts
Russia, as Europe's largest gas supplier, has been accused of exacerbating the crisis by failing to send additional gas beyond its contractual obligations.
However, Putin instead blamed low wind power output this year as well as Europe's increased use of spot sales and gas-on-gas pricing for causing the crisis.