Prices ease in Europe but UK storage issues mount

Colder-than-average temperatures have pushed up seasonal consumption in parts of Europe, and UK demand is forecast to be above seasonal norms on Wednesday. However, strong supply is keeping the market balanced and the pressure on prices is generally increasing as Europe moves into spring. Temperatures are forecast to be around or above average over the coming week across much of Europe, reducing the risk of a late-season spike in prices.

The NBP day-ahead was down to around 44 p/th on Tuesday after having declined steadily from the previous week, while the TTF day-ahead fell to around 43 p/th. The NCG has retained its premium over the TTF despite a drop of 4.4 p/th over the past week. The NCG day-ahead was down to around 44 p/th on Tuesday. France’s northern market is well supplied, and pressure on the PEG Nord day-ahead has seen it average around 43 p/th since the start of the week.