Prices up again on higher coal and oil prices
European gas prices were up again yesterday, supported by the additional rise in coal prices (+10.31% for API2 1st nearby prices; +8.72% for Cal 2023 prices).…
Get more analysis and data with our Premium subscription
Ask for a free trial here
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
European gas prices weakened slightly yesterday, despite the further rise in Asia JKM prices (+8.10% on the spot, to €80.761/MWh, +1.27% for the November 2021 contract, to €80.116/MWh). The drop seems to have been triggered by profit taking by financial participants after the strong increases of the previous session.
On the spot supply side, Russian flows weakened yesterday, averaging 313 mm cm/day, compared to 317 mm cm/day on Monday. Norwegian flows were also down, to 279 mm cm/day on average, compared to 290 mm cm/day on Monday, due to planned maintenance works.
At the close, NBP ICE October 2021 prices dropped by 3.550 p/th day-on-day (-1.87%), to 186.100 p/th. TTF ICE October 2021 prices were down by 154 euro cents (-2.04%) at the close, to €73.782/MWh. On the far curve, TTF Cal 2022 prices were down by 50 euro cents (-1.17%), closing at €42.561/MWh, and maintaining a comfortable spread against the coal parity price (€34.717/MWh).
European gas prices are down again this morning. However, as fundamentals remain bullish, the drop should be limited, particularly as prices could benefit from technical supports (€70.247/MWh on TTF October 2021 and €41.520/MWh on TTF Cal 2022).