|Market Close||Market Close|
|The Pound strengthened against the Euro yesterday as the Bank of England decided not to cut interest rates; this helped to pressure down gas contracts on the near-curve. Norwegian supply also increased which led to an oversupplied system and a jump in exports to Belgium. Meanwhile, a rise in oil and gas contracts offered support further along the curve.||Power contracts ended yesterday's session at a discount with direction coming from the bearish sentiment displayed on the gas-curve. A stronger Pound and low demand also contributed to losses on the near-curve, although a rise in Brent limited downward movement further out.|
|Market Open||Market Open|
|Norwegian gas flows into the UK displayed another increase this morning and have offset a drop in UKCS production which has been limited due to an outage. The UK gas system is balanced as demand levels have weakened and this comfortable supply picture resulted in losses across the gas curve at the start of the session.||Losses can be observed across the curve this morning with falling gas continuing to influence the power market. Colder temperatures mean that demand levels are below the seasonal norm and healthy wind generation across Europe has further weighed on prompt contracts.|
Brent 1st-nearby prices remain below $46.8/b this morning, displaying a small upward correction following a sharp decrease on the back of the recent EIA report which showed a rise in US crude oil output.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased - closing at 41.58ppt and £42.92/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