|Market Close||Market Close|
|A long system and milder weather helped near curve gas prices stabilise yesterday, with almost no change expected to temperatures today. Support was provided by an increase in storage withdrawals, while French nuclear issues continued to impact gas and power contracts. Movement further along the curve was minimal as oil prices stabilised and coal displayed a small drop, offsetting the effects of a weak Pound.||Wind levels were forecast to rise today, weighing on the prompt during yesterday’s session. Heating demand was also down due to a slight rise in temperatures. The Euro strengthened against the Pound once again but a drop in coal helped to limit gains at the back of the curve.|
|Market Open||Market Open|
|High storage withdrawals are the main market driver today with a steady rise displayed across Europe, raising concerns about what would happen should a sustained cold period occur. Despite this, gas contracts have moved down due to a market correction, helped by an oversupplied system and lower LDZ demand.||A rise in wind generation has reduced gas-fired power demand by 16mcm, restricting upward movement at the front of the curve this morning. Colder weather is expected to return at the start of next week and wind levels are set to drop, helping the prompt move higher. Meanwhile, changes on the far-curve are minimal as the oil market has settled down.|
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent prices have stabilised back above $64/b as the bullish momentum from the start of the week has eased. High US production figures have provided some bearish resistance, although Middle Eastern tensions and OPEC discussions remain key factors.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 48.25ppt and £47.03/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.