|Market Close||Market Close|
|Residential demand in the UK is expected to rise this week due to colder weather, offering support to the front of the curve yesterday. LNG supply also remained tight and bullish movement on the coal market continued to help far-curve contracts move higher. Meanwhile on the continent, Russian flows were down due a planned shutdown of the Nordstream pipeline.||A strong wind generation forecast limited upward movement on the near power curve yesterday but failed to restrict the gains completely, with support coming from rising gas, coal and oil. Brent increased on the back of comments made by the Saudi oil minister in regards to production cuts next year.|
|Market Open||Market Open|
|This week’s weather forecast is unchanged and residential demand is expected to remain above the seasonal norm, helping towards further gains on the near-curve. The UK gas system is close to balance on the back of this rise in demand, with reduced flows via the St Fergus pipeline also a contributing factor. Elsewhere, coal continues to provide support but the oil market has stabilised.||Wind generation should remain healthy up until Friday, with a significant drop expected over the weekend, while solar is forecast to remain weak for the next fortnight. Temperatures will also remain below average and the coal market is bullish; subsequently the majority of power contracts have moved higher this morning.|
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices are slightly bearish as extreme weather around the US has calmed and oil refineries are returning online. Comments made by OPEC members in regards to further production cuts have had little impact and Brent currently trades around $53.5/b.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity increased – closing at 47.15ppt and £47.58/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.