Market Insight
Tony Jordan
16 January 2024

Market Insights 16/01/2024

DAILY MARKET REPORT – 16/01/2024

Markets continued their downside trend to start the week off, pushing through key psychological levels (typically round numbers such as €30).

No change to the temperature outlooks in the latest long term runs, with some colder days for the rest of the week before jumping above seasonal normal and then staying close to it until late February. This will give further comfort to the market.

An eye will be kept on developments in the Red Sea and any potential impact to LNG shipping, although with increased military presence protecting commercial shipping in place this risk may be limited. QatarEnergy ships are now believed to be on the move once again.

Yesterday saw the TTF Front Month contract settle at €29.92 (from €31.99) and the NBP Front Month contract at 74.12p (from 79.92p).

No unplanned outage this morning and we see a flow level at 348mcm (339). Russian nominations showing Velke Kapusany at 41.0mcm (39.3) and Sudzha at 42.4mcm (40.5). Nord Stream remains unavailable. EU gas storage showing at 79.14% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 8.

This morning we see the Front Month TTF contract at €30, NO CHANGE to the previous settlement.

A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €30, Front Season €30 (vs €30 and €32)
Curve NBP Front Month 74p, Front Season 74p (vs 80p and 79p)
UK Gas NBP spot 74p (from 80p)
UK Power DA £84 (from £78)

UK power prices show the UK Front Month Baseload contract at £72 (£78) and Front Season at £66 (£71).

In other areas of the market Brent Oil is at $78 ($78) and EUAs are at €67 (€66). Henry Hub is at $3.31 ($3.31) and JKM is at $10.66 ($10.66) with TTF Equiv of $9.61 ($10.29).

Numbers in brac

now •

DAILY MARKET REPORT – 16/01/2024

Markets continued their downside trend to start the week off, pushing through key psychological levels (typically round numbers such as €30).

No change to the temperature outlooks in the latest long term runs, with some colder days for the rest of the week before jumping above seasonal normal and then staying close to it until late February. This will give further comfort to the market.

An eye will be kept on developments in the Red Sea and any potential impact to LNG shipping, although with increased military presence protecting commercial shipping in place this risk may be limited. QatarEnergy ships are now believed to be on the move once again.

Yesterday saw the TTF Front Month contract settle at €29.92 (from €31.99) and the NBP Front Month contract at 74.12p (from 79.92p).

No unplanned outage this morning and we see a flow level at 348mcm (339). Russian nominations showing Velke Kapusany at 41.0mcm (39.3) and Sudzha at 42.4mcm (40.5). Nord Stream remains unavailable. EU gas storage showing at 79.14% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 8.

This morning we see the Front Month TTF contract at €30, NO CHANGE to the previous settlement.

A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €30, Front Season €30 (vs €30 and €32)
Curve NBP Front Month 74p, Front Season 74p (vs 80p and 79p)
UK Gas NBP spot 74p (from 80p)
UK Power DA £84 (from £78)

UK power prices show the UK Front Month Baseload contract at £72 (£78) and Front Season at £66 (£71).

In other areas of the market Brent Oil is at $78 ($78) and EUAs are at €67 (€66). Henry Hub is at $3.31 ($3.31) and JKM is at $10.66 ($10.66) with TTF Equiv of $9.61 ($10.29).

Numbers in brackets show the previous reports value.