|Market Close||Market Close|
|Gas prices continued on a downward trend yesterday as supply levels were strong, residential demand remained below the seasonal average and oil displayed another loss. The UK gas system was oversupplied as a result of this healthy supply/ demand picture, with LNG send-outs rising to 50mcm.||The UK gas system is oversupplied once again this morning which has further weighed on contracts, although an expected drop in temperatures tomorrow has restricted the losses somewhat. However, temperatures are set to rise back above the seasonal norm next week and Norwegian imports remain healthy. Brent has also posted a significant loss which has helped far-curve prices to open at a discount.|
|Market Open||Market Open|
|A weaker gas market, mild weather and high wind generation resulted in losses on the power curve yesterday. Consumption levels remained low for this time of year, while healthy renewables provided further downward pressure on the prompt.||Power fundamentals are comfortable today and this has transferred to contracts, with numerous losses displayed across the curve. Wind generation continues to rise and is expected to peak at 5.75GW today, with strong levels continuing tomorrow and over the weekend. Weaker gas, coal and oil contracts have also helped to weigh on power prices further along the curve.|
Brent 1st-nearby prices have fallen by over $1/b and currently stand just above $46/b as US crude inventories continue to rise and poor economic data in China is causing some concern.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased - closing at 35.43ppt and £38.45/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