Forecasts for cooler temperatures are lending support to the gas and power markets today according to the daily market report.
Ben Spry, Optimisation Desk Manager at npower said: “We’ve got a gas system that is slightly short this morning, we’ve therefore got slightly bullish prices on the near curve powering gas and we’ve also got slightly colder temperatures going into next week and beyond.”
The gas system was forecast to close around 3 million cubic metres short, said the analyst.
February ’15 gas prices are trading at £46.00, which is up 0.45 pence per therm and power prices are trading at £45.80 which is up 40 pence per megawatt hour, the Optimisation Desk told ELN.
The analyst added: “The weather slightly cooler and probably from tonight onwards and heading on to next week and into Feb and that’s giving a little bit of support to the markets as we anticipate demand rising in line with those cooler temperatures.”