Yesterday in Summary
The lion’s share of Wednesday’s gains to the NBP curve were reversed yesterday as representatives from Oman and Iran continued with talks in the hope of reaching an agreement which could lead to the unblocking of the Strait of Hormuz. The August contract for the NBP shed 5.68p per therm to settle at 140.75p while the Winter-26 contract fell by 4.585p. Prompt prices posted similar losses shrugging off a minor deficit on the gas system yesterday. Crude oil prices softened on Thursday and look set to post a strong decline this week. Brent settled $1.71 down at $89.03 a barrel on hopes the Oman-Iran talks could open the key transport route for oil.
Markets This Morning
UK wholesale gas prices opened lower this morning but have switched tact in the last hour with near months for the NBP now trading between 1.50p and 2.00p per therm above last night’s close. The new front month, September, traded down to 140.44p but was at 144.65p on the last exchange. Crude oil prices are near the higher end of the trading range for the day so far, but the September contract is still 41 cents down at $88.62 a barrel. News that Hamas have agreed to the draft peace plan was welcomed by the markets earlier but with President Trump to hold a cabinet meeting at Camp David later today the focus with turn to the West to see if the President will escalate efforts to resolve the conflict with Iran.
