Wholesale gas and electric prices were broadly stable on Friday, with decreases due to market fundamentals balanced out by the threat of 50% EU tariffs from President Trump. The market remains volatile due to geopolitical factors rather than any market fundamentals.
| Gas: Gas prices ended the week volatile as President Trump announced 50% tariffs on the EU, triggering a sell off of gas. However, markets soon rebounded as the Troll field outage fundamentals outweighed theoretical tariffs. Power: Power prices were mixed last Friday as the prompt contracts softened, whilst the curve strengthened. Front prices fell in line with an increase in wind generation, whilst seasonal contracts increased, tracking gains in the NBP market. Oil: Oil prices fell on Friday due to OPEC+ expected production hikes in July, marking the first weekly drop in oil for three weeks. This outweighed the potential supply disruptions raised earlier in the week. President Trump’s recommendation of 50% tariffs on the EU from 1 June reignited concerns over demand. Carbon (EU ETS): The ICE Dec-25 fell to €71.56/t last Friday before rising again to €73.04/t. The contract opened at €72.95/t this morning and is currently trading at €72.44/t. Carbon (UKAs): The ICE Dec-25 closed downwards to £51.69/t last Friday. After opening higher this morning at £52.54/t, the contract is currently trading at £52.60/t. |
#gas #electricity #businessutilities #businessgas #businesselectricity
