Apollo Energy publishes a daily energy market analysis, focusing on the gas, power and oil markets including a commentary on how the markets close and open. Our analysis provides insight on how the markets are performing and also considers various factors which could dictate price changes in the future.
The analysis also contains a graph which tracks the one-year forward price of both gas and electricity as well as changes to Brent crude oil.
Gas prices increased on Thursday despite stable fundamentals, with a lack of deliveries from Qatar this month resulting in weak LNG send-outs. Temperatures are also forecast to turn colder next week which helped to support prices at the front of the curve. Meanwhile, increases on the coal and oil markets helped towards gains on the far-curve.
Milder temperatures and an improved supply picture helped near-curve gas contracts move down on Wednesday, while falling oil prices helped to weigh on the far-curve. Early morning gains were cancelled out in the afternoon, with a rise in imports via the BBL pipeline and weaker demand resulting in an oversupplied system.
Oil prices decreased yesterday which transferred to some contracts on the gas market, with a milder weather forecast also a bearish factor. Meanwhile, cold weather resulted in a rise in demand levels which sat 18% above the seasonal norm, while outages at gas facilities in Norway were ongoing, helping to lift the prompt.
11th October 2016 | Posted by: Natalie Ivinson | Market Analysis
Gas prices were volatile once again yesterday, pressured by an upward revision in temperature forecasts for next week and strong flows from Norway. Rising oil prices also offered support. Curve contracts remained negative at the close, while spot prices showed some resilience amid short-term lower temperature forecasts.
Gas prices displayed losses on Friday and erased some of the gains recorded in previous sessions. Contracts were pressured down by decreases on the coal, power and oil markets despite another drop in Pound. Elsewhere, the workerâ€™s strike at the Nyhamna gas plant in Norway was avoided but two unplanned outages reduced imports into the UK and restricted some of the downward movement.