|Gas contracts ignored weaker demand levels on Tuesday with a stronger Dollar and gains on the oil market dictating the curve. Brent continues to act as the main market driver for gas following comments made by OPEC members in regards to working towards market stability and being open to a potential freeze on oil production.
|Like Monday, power contracts were influenced by rises on the gas market which was supported strengthening Brent. Warmer temperatures also contributed to a rise in cooling demand, while wind levels have fallen since the weekend.
|Prices continue to move higher this morning with maintenance at the Kollsnes facility limiting Norwegian imports into the UK. The Euro has also strengthened against the Pound and prices further along the curve are still taking direction from rising Brent.
|Wind generation is expected to increase over the weekend which could weigh on prompt prices in the coming days but movement this morning is largely bullish. Today's outlook is unchanged from previous sessions and the curve has followed the direction of higher gas and oil contracts.
Brent 1st-nearby prices have increased for the fourth consecutive session and now trades just above $48.8/b; optimism in regards to a potential freeze deal remains the main supportive factor.
1-year forward prices
Market close data has revealed that the 1-year forward price for both commercial gas & commercial electricity increased - closing at 40.73ppt and £43.11/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