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
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
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
European power prices tumbled last week as carbon EUAs posted their largest weekly drop for over 4 months. European gas storage reinjection continued at the slowest pace for the time of year since 2014, EUAs came under significant price pressure last week, posting their largest weekly price drop since January.
Europe
European power generators are facing a vicious cycle of rising costs which is translating into record-high prices for power futures. Short and long-run dynamics pushed European gas benchmarks substantially higher last week. Carbon EUAs jumped a further 12% last week, the largest weekly gain since early February.
Europe