The European Central Bank’s stimulus package last week failed to rally power prices. This was despite initially counteracting the effect of bad weather and inconsistencies in gas flow to the UK, which drove prices down.
According to Magali Hodgson, npower’s Optimisation Desk Manager, the last fortnight has seen “mixed messages” on the UK and European energy market.
She said in npower’s forthnightly market report: “The past two weeks have seen mixed messages – the prompt went up and the back end on the whole went down.
“Prices turned slightly on the back of the ECB announcing a bit of stimulus on the financial market, however that was very short-lived and the market actually closed the fortnight down.”
Power trading prices look set to continue being volatile, she said, as the market waits for the outcome of the Spanish bailout, Greek elections, news on the Eurozone’s financial affairs, as well as tensions in the Middle East.