Apollo Energy publishes a daily energy market analysis, focusing on the gas, power and oil markets including a commentary on how the markets close and open. Our analysis provides insight on how the markets are performing and also considers various factors which could dictate price changes in the future.
The analysis also contains a graph which tracks the one-year forward price of both gas and electricity as well as changes to Brent crude oil.
Gas prices climbed higher on Tuesday with the larger gains displayed at the front of the curve. A rise in coal and oil helped to lift prices, although an expected rise in wind generation weighed on the prompt as this should reduce demand for gas-fired power.
Gas prices climbed higher during Monday’s session with a short system offering support to the front of the curve. Meanwhile, the back of the curve was pushed higher by coal and carbon markets, while a delay to the Brexit vote caused the Pound to fall, providing additional bullish pressure.
Gas prices closed the week lower despite a small gain on Friday which was sparked by strengthening on the oil market. However, overall sentiment at the front of the curve remained bearish due to a healthy supply outlook as outages in Norway were scheduled to end over the weekend.
Gas prices moved down yesterday despite an undersupplied system at the start of the session, as a mild weather forecast, an increase in wind levels and weaker commodity markets offered bearish pressure.
The system was short yesterday due to a significant drop in Norwegian flows following an unplanned outage, however, gas prices were bearish at the front of the curve due to a weaker demand outlook. Windy and milder weather should reduce demand, while LNG send-outs remained comfortable on the continent. Meanwhile, weaker coal and oil weighed on the far-curve.