Oil & Markets
Daily Energy Market Report 10th October 19: Remote signs of progress in trade talks between the US and China have given markets a glimmer of relief from the recent spate of pessimism over weak economic signs.
Chinese equities have bounced from a recent bottom as a result, whilst moves on western indices have been less marked.
The tone has also filtered into oil markets, where front month Brent crude shrugged off a larger-than-forecast build in US stockpiles to close a fraction up on the day.
Sterling remains mired in negativity as hopes of a breakthrough in the Brexit stand-off are pinned on talks later today between the PM and his Irish counterpart.
Gas & Power
A flicker of support from wider markets roused some upside in dated contracts across European hubs yesterday.
Potentially short-lived hopes of lower demand forecasts failing to materialise pushed premium into curve contracts, with rising buying activity in the run-up to calendar expiry also feeding into moves.
More short-term contracts remain tethered by a soft prompt, where expectations of comfortable supplies over the balance of the week dragged day-ahead closer to 20p/th.
LNG shippers finding incentive to load UK gas at current levels may start to ward off this weakness as the month continues.
Daily Energy Market Report 10th October 19 brought to you by British Utilities