The forecast for gas demand has gone up as temperatures are expected to be lower.
According to the daily market report from npower, last night’s forecast showed temperatures to be lower through the weekend and next week, with demand expected to rise by up to 20mcm on some days.
The gas system is slightly down (9mcm) due to strong exports through the Interconnector and there’s not enough imports from the UKCS.
The power system is comfortable and peaking at around 16GW. Solar feed-in has increased to 4.8GW and wind generation to 800MW, although this is less than expected, Tim Carter, Client Portfolio Manager at npower’s Optimisation Desk said.
Oil is still unpredictable. There was a $2 (£1.30) loss yesterday before Brent Crude oil recovered to $64 (£43) a barrel.
The dollar strengthened against the pound and euro. The pound is gaining against the euro as concerns over Greece leaving is reducing confidence in the euro, Mr Carter added.