West Texas Intermediate peaking at the highest level since October 2018
04 June 2021
Markets had opened firmer but early gains were relinquished laterThe UK gas system was well balanced on Thursday with demand remaining steady at 150MCM. Norwegian imports along with LNG made up almost 80% of yesterday’s supply as storage facilities continued to replenish reserves. The markets had opened firmer but early gains of around a penny were relinquished later as the carbon market also switched direction. NBP futures settled mixed with the near months closing slightly higher while contracts further along the curve ran into negative territory. Prompt contracts also reversed tack during the session and all products save for the spot closed with modest losses on the day.
Baseload power futures settled mixed yesterday as the market responded to movement in the gas and carbon markets. Early gains were either pared back or fully reversed as the front month settled £0.50/MWh down at £73.25/MWh. Carbon EUAs also fell through the afternoon session recording losses of around 2.5%. Baseload for the day ahead eased by £1.18/MWh despite a falloff in wind generation. While wind generation fell below 4.0GW yesterday and is not forecast to increase over the next week or so, solar photovoltaic is expected to average around 3.0GW.
Baseload power futures settled mixed yesterday