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.
Near-curve gas prices were pushed higher yesterday by high demand levels and a drop in Norwegian supply. The rest of the curve displayed mixed movement with a weak oil market offset by a rise in the Euro against the Pound.
Gas prices moved higher yesterday afternoon due to the current cold temperatures across Europe and a number of unplanned outages in Norway. Prices initially opened lower due to the weak oil market but rebounded later in the session as gas demand rose to 348mcm. However, the gains were minimal as milder weather is expected to return later in the month and increased BBL flows and LNG send-outs offset the drop in Norwegian imports.
Gas prices displayed downward movement yesterday despite strong demand levels as an upward revision in temperatures for next week and a falling oil market fuelled the bears. Demand levels in the UK are at their highest point so far this winter due to the current cold spell but the system remains oversupplied thanks to strong storage withdrawals and higher Norwegian imports.
Gas prices moved higher yesterday morning due to colder temperatures which led to a significant rise in demand levels. However, prices came down slightly in the afternoon as milder weather is set to return to the UK towards the end of next week. Further along the curve, any upward movement was limited due to the falling oil market.
Gas prices moved down on Tuesday on the back of a weak oil market, healthy supply and a milder weather forecast for next week which should reduce demand levels. The UK gas system was long due to increased storage withdrawals, with stronger Norwegian imports and LNG send-outs also contributing to the healthy supply picture.