|Market Close||Market Close|
|A warmer weather outlook for next week helped to weigh on gas contracts yesterday afternoon, with further downward pressure coming from healthy LNG flows. Gas demand in the UK increased once again yesterday which supported prompt contracts in the morning, while rising Brent helped towards gains on the far curve.||Colder weather lifted consumption levels in the UK yesterday with similar levels expected today, resulting in upward movement across the near power curve on Wednesday. The British Pound weakened against the Euro which also assisted the bulls, while the oil and gas markets posted gains.|
|Market Open||Market Open|
|Far-curve contracts have stabilised this morning as bullish movement on oil contracts has slowed down somewhat and power prices are generally unchanged. An expected drop in demand next week and a comfortable supply outlook for the short term also resulted in bearish movement on the prompt and near-curve.||The majority of power contracts are unchanged this morning with a stronger wind generation forecast and an expected upturn in temperatures next week helping to limit any bullish movement on the curve. Weaker gas also provided resistance for some contracts, while upward movement on Brent contracts is less noticeable than previous sessions.|
Brent 1st-nearby prices have posted further gains this morning and currently trade just below $47.2/b. Reports yesterday showed another drop in US oil production, while investment in the sector remained strong; offering support to 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 35.60ppt and £37.85/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