|Market Close||Market Close|
|Gas prices moved higher yesterday as the supply outlook has deteriorated with temperatures expected to fall significantly at the end of the week, while LNG supply remains low and stocks have dwindled throughout the winter period. Some support was offered by a stronger Pound following Theresa May's Brexit speech but sentiment across the curve remained bullish.||Increases on the gas curve transferred to the power market during yesterday's session thanks to a weaker supply/ demand outlook due to a stronger demand forecast. Coal prices increased significantly which offered further support but the effects were slightly offset by a strengthening Pound.|
|Market Open||Market Open|
|Gas contracts continue to move higher this morning as demand has increased across the continent. The UK gas system is oversupplied which has helped to limit some of the upward movement at the front of the curve, with movement on the currency markets also providing some volatility.||Power contracts continue to track the movement of gas and have posted gains this morning, with UK temperatures set to fall over the next few days. Wind generation is also forecast to decrease, while stronger fuel prices have helped contracts further out to move higher.|
Brent 1st-nearby prices remain stable and continue to trade at around $55.5/b with bearish pressure coming from a higher US rig count but with on-going support provided by production cuts in Saudi Arabia.
1-year forward prices
Market close data has revealed that the 1-year forward price for commercial gas increased slightly, while commercial electricity moved down - closing at 48.93ppt and £47.88/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.