Market Insights 06/06/2024

DAILY MARKET REPORT – 06/06/2024

Some further downside seen yesterday following the huge increase seen earlier in the week, as it is expected the issues with the Norwegian output will shortly be resolved.

The average temperature outlook still remains below seasonal normal until late next week, when it then stays above normal for many weeks.

Yesterday saw the TTF Front Month contract settle at €33.36 (from €33.80) and the NBP Front Month contract at 79.34p (from 80.59p).

Nyhamna remains on unplanned outage this morning and we see a flow level at 273mcm (281) Russian nominations showing Velke Kapusany at 42.9mcm (42.3) and Sudzha at 42.4mcm (42.4). Nord Stream remains unavailable. EU gas storage showing at 70.73% full as per AGSI+. LNG vessels due to arrive in UK next couple of weeks is 1.

This morning we see the Front Month TTF contract at €33, NO CHANGE to the previous settlement.

A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €33, Front Season €38 (vs €33 and €38)
Curve NBP Front Month 79p, Front Season 97p (vs 81p and 99p)
UK Gas NBP spot 79p (from 82p)
UK Power DA £79 (from £62)

UK power prices show the UK Front Month Baseload contract at £73 (£75) and Front Season at £88 (£91).

In other areas of the market Brent Oil is at $78 ($78) and EUAs are at €72 (€72). Henry Hub is at $2.76 ($2.59) and JKM is at $11.97 ($11.99) with TTF Equiv of $10.64 ($10.79).

Numbers in brackets show the previous reports value.