| Gas | Power |
| Market Close | Market Close |
| Near-curve gas prices displayed mixed movement yesterday, as a lower demand forecast weighed on some contracts, while a drop in Norwegian flows and weaker Dutch production supported others. The milder weather outlook for the coming days and healthy stocks should help to pressure down the front of the curve this week but rising Brent continued to lift contracts further out. | Another upward revision in temperatures for the next few days helped Day-Ahead power close at a discount on Monday, assisted by a slight rise in wind generation. UK temperatures are expected to be 2 °C above the seasonal norm heading into the weekend, although rising oil prices did offset bearish fundamentals further along the curve. |
| Market Open | Market Open |
| An uptick in temperatures before the end of the week is expected to reduce demand levels in the UK which has helped contracts on the near gas curve to record a loss this morning. The supply picture also remains healthy following an improvement in Norwegian and Russian flows, while storage levels are comfortable. Meanwhile, oil prices are expected to stabilise today following a bullish period and movement on the far-curve is expected to be minimal. | Most power contracts displayed a loss this morning with influence coming from the expected drop in consumption and the downward movement displayed on the gas curve. Oil remains a supportive factor but has had little impact this morning following a small decrease in Brent overnight. |
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Brent Summary Brent 1st-nearby prices climbed above $41/b yesterday, their highest level since the middle of November but a downward correction overnight saw prices drop to around $40.5/b. Traders remain optimistic in regards to producers committing to support oil prices, although weaker economic data from China offered some bearish pressure. 1-year forward prices Market close data has revealed that the 1-year forward price for commercial gas increased slightly, while commercial electricity recorded a loss - closing at 30.05ppt and £34.20/MWh, respectively. Today's prices can also be found in an easy to read table on our 'current UK energy price' page. |
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