|Market Close||Market Close|
|Gas contracts moved down yesterday with a milder weather forecast for this month and an oversupplied system weighing on prices across the near-curve. A drop in oil and coal prices later in the session also helped to weigh on contracts further along the curve. Elsewhere, Russian flows via the OPAL pipeline increased following a decision by the EU commission to raise its capacity, while the Pound also strengthened against the Euro.||Improved wind generation helped to weigh on Day-Ahead power yesterday afternoon, with weaker gas also a bearish factor. A decrease in fuel prices helped toward the losses, while temperatures are also set to turn milder over the next week or so.|
|Market Open||Market Open|
|Gas prices could inch higher during today's session as temperatures have been revised down for the second half of January, while the LNG outlook remains weak due to a lack of deliveries. Low wind levels are expected which will add to strong demand levels, as additional CCGT generation will be required; coal prices have also recorded significant gains.||Power contracts have followed their gas counterparts this morning and display gains, with rising coal also providing upward pressure. Temperatures are expected to be milder over the next couple of weeks before turning much colder in the second half of the month.|
Brent 1st-nearby prices have decreased this morning following strong upward movement over the Christmas period. Prices hit an 18-month high yesterday but dropped significantly in the evening and now trade just below $56/b. Bearish pressure was provided by a strengthening Dollar and doubts amongst traders regarding OPEC's ability to balance the market.
1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas increased slightly, while commercial electricity posted a loss - closing at 47.15ppt and £46.83/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.