Market Insight
Tony Jordan
24 May 2023

Market Insights 24/05/2023

DAILY MARKET REPORT – 24/05/2023

A continuation of a relatively quiet market of late, with only very small movements in our monitored contracts in yesterdays session.

Much of this ‘calmness’ will be a welcome sign to many after incredible volatility over the past 18-months or so and will be hoping this to be a positive sign moving forwards. Market dynamics certainly hold out for some stability, however underlying fears of the ‘new world’ being sustainable are holding back the return to ‘normal’ price levels seen pre-pandemic.

Yesterday saw the TTF June contract settle at €29.13 (from €29.71) and the NBP June contract at 66.19p (from 66.36p).

Norne remains on unplanned outage this morning and we see a flow level at 224mcm from Norway (226). Russian nominations showing Velke Kapusany at 36.8mcm (36.8) and Sudzha at 41.2mcm (41.2). Nord Stream remains unavailable. Gas storage showing at 66.22% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 8.

This morning we see the June TTF contract at €29, NO CHANGE to the previous settlement.

A quick check on some key contracts (rounded to nearest whole):
Curve TTF June €29, Winter €49 (vs €29 and €49)
Curve NBP June 66p, Winter 125p (vs 66p and 125p)
UK Gas NBP spot 66p (from 66p).
UK Power DA £86 (from £85).

UK power prices show the UK June Baseload contract at £79 (£80) and Winter at £137 (£140).

In other areas of the market Brent Oil is at $77 ($76) and EUAs are at €86 (€88). Henry Hub is at $2.32 ($2.40) and JKM is at $9.74 ($9.76) with TTF Equiv of $9.20 ($9.41).

Numbers in brackets show the previous reports value.