Downward momentum on Annual power returns after brief uplift
Wednesday 17th January 2024
Annual markets continue to fall, with the front annual power hitting a 2.5 year low for the equivalent period (October ’21 in June 2021). This is in spite of what would usually be taken as bullish drivers – geopolitical tension in the Middle East and much colder weather than November or December. There has been increased gas consumption for domestic …
Downturn stalls as carbon market picks up
Wednesday 3rd January 2024
There was some upturn for power prices as we ended 2023, although gas continued its downtrend. Power was undoubtedly pushed up by some recovery in the carbon market, as well as cooler continental temperatures and a bit more bad news on French nuclear maintenance. Short-term in the UK was far more bearish than Annuals, based on very strong renewable output …
Electricity falls further on good renewable output
Monday 18th December 2023
Market prices continue to fall across all power and gas markets. In spite of the weather turning colder and gas demand increasing (for domestic heating and also electricity generation) costs are still coming off. European markets remain well supplied – EU gas storage withdrawals have increased, but volumes still remain well in excess of the 5-year average, further enforcing the …
Front Annual power drops 10% in spite of cold snap
Monday 4th December 2023
Markets have shown significant falls over the past fortnight in spite of the weather conditions turning colder. Whilst heating demand for gas is up, along with generation demand as wind speeds have dropped, the overall picture has been distinctly bearish. A lot of the risk built in following the Hamas attack has been removed as the possibility of the conflict …
Warm weather delays heating demand and lowers gas prices
Thursday 2nd November 2023
Following the Hamas attack in Israel and the subsequent response, prices surged as wider implications for energy security were considered. At the time of writing, the gas and power price spike has nearly reversed as strong generation fundamentals and warm weather dictate costs. A lot of the geopolitical risk that was built into pricing in relation to the Middle East …