18th June 2020 | Posted by: Daniel Birkett | Market Analysis

Gas Power
Market Close Market Close
Gas contracts ended Wednesday’s session slightly higher, ignoring weakness on the broader energy market. Low renewable power generation continued to lift gas demand, offering support to the near curve. Power prices at the front of the curve were pressured down by warmer weather, despite weak renewable generation. Oil, coal and carbon markets also dropped off during the session, weighing on prices at the back of the curve.
Market Open Market Open
The UK gas system is oversupplied this morning, helped by a slight rise in wind levels, but despite this, most prices have opened the session higher. Oil and carbon have rebounded slightly, offering support to gas. Gas, oil and carbon markets are bullish this morning which has transferred to the power curve. A small rise in wind levels has helped to weigh on the prompt but hotter weather is forecast for next week which should increase demand for cooling.

For a breakdown of the current generation mix visit our Power Generation Insights page.

Brent Summary

Brent 1st-nearby prices are relatively stable around $41/b at present, with no major news provided by the latest OPEC report. Overall sentiment remains torn between production cuts and new outbreaks of the Coronavirus.

1-year forward prices

Market close data has revealed that the 1-year forward price for commercial gas increased, while commercial electricity recorded a loss, closing at 30.35ppt and £40.33/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

energy price graph - 18-06-2020

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.