Sharp increases across Europe’s gas market lent noticeable support to European power contracts last week. European governments are under increasing pressure to alleviate the unusually high energy prices. Near-end gas prices were directed by fluctuations in key pipeline gas supplies last week.
Europe
UK power demand remained below the long-run average for the time of year last week, spot pricing remained largely flat. Pipeline maintenance continues to squeeze Europe’s gas supplies at a time when LNG is scarce. European coal prices continued their bullish trend.
United Kingdom
Power demand was supported last week across northwest Europe as temperatures averaged 4° above seasonal norms. Tight natural gas supplies steered European gas prices higher. Following three consecutive weeks of declines, European carbon prices increased for 4 straight sessions.
Europe
A 30% week-on-week increase in UK wind productivity failed to pressure spot power prices. Britain's storage reinjection effort picked up pace as above seasonal average temperatures saw heating demand drop. Brent gained support on OPECs cautious approach to output return and nuclear deals.
Europe
Market movements were largely mixed last week as elevated carbon prices, low storage levels, capped gas flows and higher front-month coal prices opposed the bearish pressure of demand reduction from warmer temperatures.
United Kingdom
European annual power prices moved lower last week as carbon EUAs continued their descent. Higher oil prices affected the parity between the free-floating European benchmark hub prices and oil-indexed gas from north Africa, while higher coal prices supported the economics of gas- fired power generation.
Europe