|Market Close||Market Close|
|Gas prices moved down across the curve yesterday as above average temperatures and falling oil were the main market drivers. The UK gas system was long throughout the session and an outage at the Rough facility prevented any storage injections. Demand levels remain very low for this time of year and another drop in Brent weighed on far-curve contracts.||Power contracts closed at a discount on Monday as a weaker gas market, falling coal and oil and low consumption provided significant downward pressure. Temperatures in London are expected to be around 3 ° above the seasonal average over the next two weeks which helped towards the losses on the near-curve. Wind generation is also on the rise which resulted in the prompt shedding over £1/MWh from its price.|
|Market Open||Market Open|
|The gas curve continues to display a downward trend this morning as oil has weakened further and residential demand remains well below average. Prices could display a rebound in an attempt to correct yesterday's heavy losses but temperatures are expected to remain mild over the coming days and the outlook is bearish.||Day-Ahead power has recorded a further loss this morning as wind generation is expected to increase from 4GW to 5.6GW tomorrow. Another decrease in gas prices has helped to pressure down the rest of the near curve, while far-curve contracts were slightly more stable.|
Brent 1st-nearby prices continue to plummet and were close to a seven-year low during Monday's session due to global oversupply and uncertainties created by Friday's OPEC meeting; Brent currently trades just below $41/b.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased - closing at 36.35ppt and £38.80/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