Energy Wholesale Market Review
Energy Wholesale Market Review Week Ending 24th November 2023
It was a mostly bullish week for gas and power contracts this week, with day-ahead contracts registering the largest gains. Following this, day-ahead gas rose 18.2% to 123.50p/th, as reduced temperatures forecast across the week acted to boost gas-for-heating demand. Following its gas counterpart higher, day-ahead power rose 32.2% to £119/MWh, with strong support from decreased wind outturn projections, alongside increased consumption forecasts throughout the week creating a bullish pricing sentiment. Likewise, December 23 gas was up 4.3% at 119.50p/th, and January 24 gas increased 1.2% to 122.50p/th. Most seasonal gas contracts declined last week, down by 1.2% on average, while summer 24 gas increased 1.0% to 117.00p/th and winter 24 gas was unchanged at 131.00p/th. Most seasonal power contracts boosted this week, up on average by 1.0%, as summer 24 power expanded 3.0% to £102.00/MWh, while winter 24 was static at £118.00/MWh.
Wholesale price snapshot – Friday-on-Friday
Energy Wholesale Market Review Week Ending 24th November 2023.
Energy Wholesale Market Review Week Ending 17th November 2023
It was a largely bearish week for gas and power contracts this week, continuing the trend of decreasing wholesale prices observed across much of 2023. Opposing this however, day-ahead gas rose 4.5% to 104.50p/th, despite being influenced by higher wind outturn projections for Monday acting to reduce gas-for-power demand. However, a notably short system offset losses this morning. Conversely, day-ahead power lost 3.2% to £90.00/MWh, with increasing wind generation projections acting to loosen system margins. Similarly, December 23 gas was down 1.9% at 114.60p/th, and January 24 gas decreased 3.4% to 121.20p/th. Most seasonal gas contracts fell this week too, however a 9.8% increase across the summer 26 gas contract led to seasonal gas prices increasing by 1.2% on average. Summer 24 and winter 24 gas dropped 1.9% and 1.3% respectively, subsiding to 115.80p/th and 131.00p/th. We observed a mixed adjustment across individual seasonal power contracts this week, up on average by 0.8%. Summer 24 and winter 24 power subsided 1.0% and 0.4% respectively, falling to £99.00/MWh and £118.00/MWh, whereas summer 25 and winter 25 rose 3.6% and 0.9% respectively, rising to £93.25/MWh and £106.50/MWh.
Wholesale price snapshot – Friday-on-Friday
Energy Wholesale Market Review Week Ending 17th November 2023.
Energy Wholesale Market Review Week Ending 10th November 2023
It was a largely bearish week for gas and power contracts this week, continuing the trend of decreasing wholesale prices observed across much of 2023 – however the day-ahead contracts were the exception to this bearish trend. Day-ahead gas rose 2.0% to 100.00p/th, following periods of below-average temperature during the week, acting to increase demand. Likewise, day-ahead power grew 3.3% to £93.00/MWh, taking direction from increases across the near-term gas markets, despite increased wind output during the week. Opposing this however, December 23 gas was down 6.2% at 116.80p/th, and January 24 gas decreased 5.2% to 125.20p/th. All seasonal gas contracts fell this week too, down by 2.4% on average. Summer 24 and winter 24 gas dropped 4.5% and 3.5% respectively, subsiding to 118.00p/th and 132.70p/th. All seasonal power contracts traded lower this week, down on average by 0.9%. Summer 24 and winter 24 power subsided 1.0% and 0.4% respectively, falling to £100.00/MWh and £118.50/MWh.
Wholesale price snapshot – Friday-on-Friday
Energy Wholesale Market Review Week Ending 10th November 2023.
Energy Wholesale Market Review Week Ending 3rd November 2023
Predominantly bearish gas price movements continued this week with strong EU gas storage levels likely influencing these losses across most tracked contracts. Day-ahead gas fell 17.6% to 98.00p/th, following increased wind outturn forecasts reducing gas-for-power demand, coupled with healthy levels of gas supply circulating in the European gas markets. Similarly, day-ahead power fell 5.3% to £90.00/MWh, with increased wind generation projections due to Storm Ciaran outweighing rising consumption forecasts into the weekend and early next week. December 23 gas was down 10.8% at 124.50p/th, and January 24 gas decreased 8.8% to 132.00p/th. All seasonal gas contracts declined last week, down by 5.4% on average, while both summer 24 and winter 24 gas dropped 8.9% and 8.3% respectively, subsiding to 123.50p/th and 137.50p/th. All seasonal power contracts declined this week, down on average by 5.7%, as summer 24 power decreased 9.0% to £101.00/MWh, while winter 24 fell 7.2% to £119.00/MWh.
Wholesale price snapshot – Friday-on-Friday
Energy Wholesale Market Review Week Ending 3rd November 2023.
Written By Graham Paul
