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.
The bullish oil market continued to push gas contracts higher on Tuesday, with the stronger upward movement observed further along the curve. The UK gas system was long for the majority of the session which helped the prompt contract close at a discount; stronger flows from Norway were the main factor behind the well-supplied system.
Bullish movement was observed across the gas curve at the end of Mondayâ€™s session as a rising oil market continues to drive prices higher. A short gas system due to maintenance in the UK and Norway also helped towards the gains on the near-curve, offsetting weak demand levels.
Gas prices moved down on Friday on the back of a warmer weather forecast for the weekend and this week, which will weigh on demand levels. Rising Brent helped to restrict some of the downward movement further along the curve but the overall sentiment remained bearish.
3rd June 2016 | Posted by: Natalie Ormrod | Market Analysis
Gas balances faced further supply concerns yesterday following an outage at the North Morecambe field, in addition to the fall in Norwegian supply. LNG output also fell, contributing to increased prices, while cooler temperatures saw demand rise.