European natural gas prices fell below €59 per megawatt-hour as hopes for progress in US-Iran negotiations eased concerns about energy supplies. Pakistan’s Defense Minister Khawaja Asif said the two sides were "close to some sort of arrangement," while talks between Iran and Oman on reopening the Strait of Hormuz were reportedly at an advanced stage. Any agreement could help restore LNG flows through the Persian Gulf and relieve pressure on Europe’s gas market. Even so, Commerzbank lifted its year-end European gas price forecast to €50/MWh from €45/MWh, and Uniper said prices are likely to stay around €50-€60/MWh as long as Hormuz remains closed. The market is also contending with European storage levels at the lowest seasonal point in records dating back to 2009 and persistent heatwaves that are increasing power demand.