|Market Close||Market Close|
|Gas prices were bullish at the start of Friday’s session with support coming from the Netherlands, as the Dutch government revealed its plans to cut production at Groningen at a quicker rate. However, prices decreased later in the session on the back of weaker fuel markets and a low demand outlook.||Renewables were weak on Friday, resulting in higher CCGT demand and providing support to the prompt at the start of the session. Prices turned bearish as the session progressed as the gas demand outlook is low and wind levels were expected to improve today. Further out, contracts also moved down with direction coming from falling fuel markets.|
|Market Open||Market Open|
|The UK gas system has opened long this morning as Norwegian flows have improved and demand is below average; this has resulted in losses across the near-curve. Meanwhile, oil prices have moved down and coal is stable, helping to weigh on contracts at the back of the curve.||Fundamentals are largely unchanged today with warm weather reducing gas demand and renewable power is expected to improve further tomorrow, weighing on the prompt. Losses have filtered through to the rest of the near-curve, while a drop in oil prices has contributed to downward movement on the far-curve.|
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices display a small loss from Friday and currently trade just below $76.5/b. The overall outlook is unchanged from last week and there is little in the way of direction, with traders awaiting the OPEC meeting in 11 days.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 54.88ppt and £54.26/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.