Market Insights 07/04/2025

DAILY MARKET REPORT – 07/04/2025

Markets had a further hard push on Friday as fears resulting from the outcome of President Trumps tariff announcement took hold.

Over the weekend plenty of companies were making decisions, with JLR announcing they would pause exports to the US for a month. Countries around the world are believed to have been trying to persuade the US to reconsider, but comments from The White House appeared to state they were holding firm on their decision.

With Asian financial markets taking a hit overnight, falling hard with a third consecutive session, Western markets are widely expected to see the same today also.

Energy markets continue to show declines with a further 7% decline in early trading this morning. Fears continuing on the impact on energy intensive industries changing production plans and perhaps freeing up some excess. On the plus side however, fears of being able to refill gas storages this summer have taken a change with advantage being taken to get that process underway.

Friday saw the TTF Front Month contract settle at €36.40 (from €39.20) and the NBP Front Month contract at 88.75p (from 95.38p).

No unplanned outage this morning and we see a Norwegian flow nomination level at 304mcm (287). EU gas storage showing at 34.76% (34.35%) full as per AGSI+. LNG vessels due to arrive in UK the next couple of weeks is 3 (3).

This morning we see the Front Month TTF contract at €34, DOWN €2 to the previous settlement.

A quick check on some key contracts (rounded to nearest whole):
Curve TTF Front Month €34, Front Season €37 (vs €36 and €40)
Curve NBP Front Month 89p, Front Season 96p (vs 95p and 102p)
UK Gas NBP spot 88p (from 99p)
UK Power Base spot £88 (from £68)

UK power prices show the UK Front Month Baseload contract at £73 (£77) and Front Season at £84 (£88).

In other areas of the market Brent Oil is at $66 ($70) and EUAs are at €64 (€69). Henry Hub is at $3.84 ($4.14) and JKM is at $12.92 ($13.08) with TTF Equiv of $11.76 ($12.71).

Numbers in brackets show the previous reports value.