Markets This Morning
Gas prices opened higher this morning, but the latest trades have seen the front months enter negative territory. October is down 3.06p per therm intra-day or 1.69p from last night’s close. The front season has also switched tack and is 0.68p lower on the last trade at 177.77p. The prompt board is displaying minor declines at this stage but could move lower as the gas system is showing a 14mcm surplus against today’s forecast demand of 81mcm. High wind has displaced most of the gas fired generators from the power stack and dented today’s gas demand. Crude oil prices have eased in the last hour or so with Brent for November delivery down 36 cents a barrel but looks set to post a strong weekly gain.
Yesterday in Summary
The crude oil markets traded sideways on Thursday after JD Vance, the U.S. Vice President, told reporters that talks with Tehran were not an option while they continue to attack shipping in the Strait of Hormuz. Meanwhile Mr Putin indicated Russia was open to negotiations with Ukraine for an end to the war while addressing an economic forum yesterday. Brent settled 11 cents down at $95.52 a barrel. In the UK, wholesale gas prices eased after hitting fresh highs for the year on Wednesday. The front month and front season settled over 4.00p per therm down while the prompt was also pressured by strong wind forecasts which will curb demand heading into the weekend.
