Energy Market Report – 8th June 2018
June 8, 2018
- UK electricity and gas prices continue fallingamid bearish crude oil and coal prices.
UK electricity prices remain strongly correlated with gas prices on the curve and movements in power reflect the change in the price of fuels. Day ahead contracts and month ahead prices are trading lower in the second part of the day. Day ahead is at £55.50/MWh, month ahead is at £54.35/MWh.
Long term contracts witnessed limited activity. Win-18 is currently at £60.25/MWh, Sum-19 £49.75/MWh and win-19 at £54.50/MWh. European coal and oil prices fell this afternoon. Brent Crude is currently trading at $76.76/bbl, 3.5% down from the highest level recorded this year.
UK Natural Gas prices:
The natural gas day ahead contract slipped 1.72% today and it is currently trading at 57.00p/th, while month ahead is at 55.35p/th, 0.45% down from yesterday’s close. Temperatures are expected to improve from tomorrow, weighing down on the day ahead price contracts.
Forward contracts such as Win-18 and Sum-19 are also trading lower. Win-18 is currently at 63.50p/th and sum-19 is at 48.50p/th. Further dated contracts such as Win-19 is at 55.80p/th and Sum-20 43.40p/th.
Severe staff shortages are leading to rapidly rising starting salaries for those moving into new jobs, according to new research, BBC reported today.