Spot power prices have continued on a bearish trend which was evident throughout December, with extremely weak fuel prices the main market driver. Api2 coal prices have plummeted to $64.39/tn which is more than a 7 year low, while consumption levels are also below average. A rebound in prices is not expected this week as fundamentals show no sign of strengthening. Gas prices also decreased further with Front-month, Front-Quarter and Front-Year contracts dropping to record lows at the end of last week on the back of strong supply and weak demand. Temperatures in January are set to remain rather mild in Europe and supply levels are healthy; more losses are expected. Today's prices can also be found in an easy to read table on our 'current UK energy price' page.
How did the energy markets close?
Gas prices continued to fall as above average temperatures in Europe helped to reduce demand, while overall gas supply was strong. Brent also continued to fall and reach extremely low levels, helping to weigh on the far-curve. Spot power prices weakened last week with falling oil and coal prices helping the bears seize control. Numerous contracts hit record lows with below average demand and healthy power generation also having an effect.
How did the energy markets open?
There is very little change to fundamentals today which means gas prices decreased once again as milder temperatures, low demand and weak fuel prices have resulted in price-drops across the curve. Power contracts have followed their gas counterparts as the overall supply/demand picture remains bearish and large discounts to coal and oil mean a rebound is not expected any time soon.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased - closing at 47.96ppt and £46.43/MWh, respectively. This can be seen in the graph below. 
Note: Brent Crude prices are taken from opening market data, and do not represent the price as it changes throughout the day.
Latest Brent Crude Prices
Brent 1st-nearby prices and WTI prices shed $5/b and $6/b, respectively over the Christmas break which resulted in a five and a half year low; Brent currently trades below $56/b, while WTI stands at around $51.5/b.