|Market Close||Market Close|
|A mild weather forecast and a bearish oil market resulted in downward movement on the gas curve yesterday afternoon. Brent initially opened at its highest level since November but fell throughout the session, with the downward sentiment transferring to the gas market. Elsewhere, the supply picture was slightly weaker than previous sessions which helped to restrict some of the losses.||Power contracts displayed gains yesterday with colder than expected temperatures supporting the prompt and front-month contracts. Wind generation increased yesterday and levels were expected to be twice as strong today, rising to around 4.6GW although this did little to restrict the bulls.|
|Market Open||Market Open|
|Temperatures for the next few days have been revised down slightly and are now expected to remain below average over the weekend which has supported contracts on the near gas curve. However, a drop in demand levels is still expected, although not as significant as initially thought. Overall supply levels are generally unchanged and weaker Brent has helped some far-curve contracts move down.||The downward revision in this week's weather forecast continues to offer support to near curve power contracts this morning, while an expected drop in wind generation tomorrow has further strengthened the prompt. The rest of the curve has followed the movement of rising gas but a drop in Brent has applied some bearish pressure on the far-curve.|
Brent 1st-nearby prices moved down on Tuesday after hitting a high of $41.48/b in the morning as the market calmed following a 10-day bullish streak, although this afternoon's EIA report could result in further upward movement.
1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas decreased, while commercial electricity moved higher - closing at 29.77ppt and £34.43/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