Daily Energy Market Report 14th August 19
Soft open on the NBP prompt this morning off the back of a long system, improving temperatures and a pickup in wind generation.
The back of the curve remains supported with Brent seeing 3% gains yesterday because of the US delaying imposing a 10% tariff on some Chinese imports.
Traders have taken this as a sign the US/China trade war could be easing off with this having a bullish effect on oil, as Chinese demand will be set to pick without US sanctions and tariffs in place.
On the UK system, it has shifted from short to long today with small increases in Langeled and UKCS versus nominations earlier in the week.
Exports along the IUK have also dropped to 7.8mcm.
Gas for power demand has also reduced with a pickup in wind generation.
Ongoing maintenances delivering into Segal and at Karsto and Nyhamna are taking combined 42.9mcm of capacity offline.
About weather, temperatures are set to improve as we move into the weekend with another spell of below seasonal normal temperatures expected next week.
Day 1 of the second Ashes test at Lords also brings with it high levels of precipitation across the UK for the back end of this week; some may say a redeeming feature with the form Smith is in at present.
Daily Energy Market Report 14th August 19 brought to you by British Utilities