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 continued to climb higher yesterday as sentiment has been little changed this week. Support was provided by demand levels which were 70mcm above the seasonal norm, while oil and carbon markets also traded higher.
The outlook for gas was little changed on Tuesday, with cold temperatures expected to continue over the coming weeks and an on-going recovery on the oil market, which both contributed to gains across the curve.
News of a national lockdown was the main market driver yesterday, pushing prices higher due to an expected drop in demand for fuel this month. Cold temperatures also lifted LDZ demand, while weaker wind generation is expected to increase reliance on gas-fired power.
Gas prices climbed higher during yesterday’s session on the back of reduced LNG send-outs and a cold weather forecast for January. A rise in oil and carbon also contributed to gains on longer dated contracts.