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.
Spot power prices climbed higher yesterday as a consequence of colder temperatures and a lower wind forecast. Gas prices also increased yesterday despite a well-supplied system, the colder weather which has led to higher demand was again the cause of the bullish movement.
Spot prices held firm on Friday as higher wind generation was expected to counter a slight drop in nuclear availability. Prices ticked higher this morning with stronger oil prices and an increase in demand being the main influences on today's market.
Prices along the far-curve fell significantly following another drop in Brent prices with seasonal contracts falling by around 0.30ppt. Near-curve prices also moved down as linepack remained long throughout the day and supply levels were healthy.
Healthy wind generation and ample thermal capacities have helped spot prices remain bearish. Slightly milder weather is also expected for the next week or so which should help lower demand levels and support the bears.