|Market Close||Market Close|
|Despite a busy start to November, LNG deliveries to the UK are set to dry up due to issues at the Dragon terminal, offering some support to prices at the end of last week. However, overall sentiment was bearish due to impending lockdowns and weakening fuel markets.||Day-Ahead power moved down on Friday due to a strong wind generation forecast for the weekend and today, combined with temperatures above the seasonal norm. Further out, contracts followed gas & oil and traded lower.|
|Market Open||Market Open|
|The UK gas system has opened 29mcm long this morning thanks to mild weather and healthy flows. Strong supply levels have seen the prompt shed from its price, with the losses filtering through to the rest of the near curve. Meanwhile, the far curve follows falling commodities.||Wind levels are expected to drop considerably over the coming days and temperatures will turn colder, resulting in a strong gain on the prompt this morning. A comfortable gas system has restricted upward movement further along the curve, while weaker coal and oil weigh on longer dated contracts.|
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices briefly dropped to around $36.5/b over the weekend (levels not seen since May) but have since recovered to almost $38/b, although the short-term outlook remains very pessimistic.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased, closing at 36.96ppt and £44.98/MWh, respectively.
Today’s prices can also be found in an easy to read table on our ‘current UK energy price' page.
Click graph to enlarge
If you would like to learn more about how Apollo Energy can help your business find the best deal on its gas and energy contracts then feel free to get in touch by calling us on 01257 239500 or using the form on our contact form.