Markets remain supported as bullish sentiment and geopolitical risks persist.
Gas and power
Power and gas markets continued to strengthen yesterday, with bullish momentum persisting despite a lack of major developments. Market sentiment remained supported by concerns over potential winter supply risks and ongoing geopolitical tensions. While comments from Vance suggesting a softer stance on Iranian nuclear enrichment improved prospects for a potential agreement, the market remains focused on the risk of prolonged disruption rather than short-term diplomatic progress. Meanwhile, a growing number of LNG tankers in the Gulf may signal preparations for increased exports despite continuing security concerns in the region.
Adjacent markets
US equities moved lower on Wednesday as long-dated bond yields climbed to multi-decade highs, while minutes from the Federal Open Market Committee indicated that the Fed expects to raise interest rates again before year-end. Oil prices closed marginally lower after IEA members agreed to prioritise the release of diesel reserves to help curb the sharp rise in fuel costs.
Closing prices
|
NBP (p/therm) |
UK Base (£/MWh) |
||||||
|
Close |
Day on Day |
Close |
Day on Day |
||||
|
Nov-26 |
194.3 |
6.4 |
157.0 |
5.1 |
|||
|
Dec-26 |
197.2 |
6.27 |
156.4 |
4.6 |
|||
|
Jan-27 |
198.8 |
6.16 |
168.1 |
4.28 |
|||
|
Q1-27 |
194.9 |
6.36 |
160.2 |
4.98 |
|||
|
Q2-27 |
151.5 |
3.88 |
119.5 |
3.72 |
|||
|
Q3-27 |
141.1 |
3.87 |
110.5 |
2.04 |
|||
|
Sum-27 |
146.3 |
3.87 |
114.9 |
2.91 |
|||
|
Win-27 |
140.5 |
3.28 |
115.9 |
3.13 |
|||
|
Sum-28 |
89.9 |
-0.95 |
76.6 |
0.19 |
|||
|
Win-28 |
95.7 |
-0.83 |
83.6 |
-0.65 |
|||
|
Sum-29 |
73.3 |
-0.4 |
70.7 |
-0.58 |