Gas prices weakened yesterday with the back of the curve pressured down by falling coal and carbon markets. An upward revision in this month’s weather forecast helped to weigh on the near-curve, with a healthy LNG outlook and a long system also a factor.
Gas prices climbed higher on Wednesday with gains seen at the front of the curve on the back of a colder weather outlook for January. Oil prices also increased which offered support to back of the curve, ignoring a drop in coal.
The UK gas market was bearish at the end of 2018 with mild temperatures and healthy LNG send-outs pressuring down prices at the front of the curve. Meanwhile, falling coal and oil weighed on the back of the curve, while carbon’s bullish trend came to end.
19th December 2018 | Posted by: Natalie Ivinson | Market Analysis
Prices fell yesterday driven down by a fall in spot prices, while the forward curve tracked the falling oil prices. Milder weather, increased wind generation and a bearish oil market all had an impact on prices.