|US futures saw their worst day of trading since 1987, impacting markets across the world. Jet fuel and gasoline prices fell below the cost of crude production and this heavily weighed on energy markets, with carbon seeing the largest loss. This resulted in losses across the gas curve, with supply fundamentals having minimal impact.
|Power prices were dragged down by the rest of the European energy complex. Feedstocks and carbon were hit significantly, with market weakness expected to continue for the rest of the month at least.
|Gas prices have found some support this morning as Asian markets have strengthened slightly. The UK gas system is also undersupplied and an expected drop in temperatures should lift demand, preventing downward moves at the front of the curve.
|Power prices display a rebound this morning, with European commodities finding support from Asian stock markets. An expected drop in wind levels for the rest of the week has also helped to push the prompt higher, with a cooler weather outlook also contributing to gains on the near-curve.
For a breakdown of the current generation mix visit our Power Generation Insights page.
Brent 1st-nearby prices have dropped towards $30/b as global markets remain extremely volatile, some experts predict that Brent could fall as low as $20/b before the Coronavirus pandemic has run its course. The situation has not been helped by comments made by Saudi Arabia and Russia in regards to their resilience against low prices.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity decreased – closing at 28.79ppt and £36.97/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.