In the Continental European gas markets, the weather continued to be the main driver of prompt prices over Tuesday morning, traders said.
Revised temperature forecasts caused prices on prompt contracts to drop from the stronger levels heard on Friday to trade significantly lower by midday, London time.
"The milder than expected temperatures are moving the prices down across European markets," said a trader.
Continental Europe's main gas trading hub, the Dutch TTF, shed 85 euro cents on its day-ahead contract from Friday's close, to trade midday Tuesday at Eur23.15/MWh. The TTF February contract fell Eur1.15 from its close Friday to trade midday Tuesday at Eur22.80/MWh.
The temperature in Amsterdam is currently 2 degrees Celsius below the seasonal norm, according to forecaster CustomWeather. However, by the weekend it is expected to be approximately 3 C above the seasonal norm.
Similarly, in Paris, forecast temperatures are at 5 C below the seasonal norm for Wednesday but are expected to be 1 C above the seasonal norm on Thursday and 5 C above the seasonal norm on Thursday and Friday.
As a result, France's PEG Nord day-ahead fell 70 euro cent from Friday's close to trade midday Tuesday at Eur23.30/MWh.
In the German markets, the GASPOOL day-ahead contract traded at Eur23.40/MWh midday Tuesday, shedding 45 euro cent from Friday's close. The Net Connect Germany day-ahead price fell Eur1.00 to trade midday Tuesday at Eur23.50/MWh.
The Italian PSV traded Eur1.00 lower midday Tuesday, with Eur24.20/MWh heard for the day-ahead contract. However, Austria's Baumgarten day-ahead contract heard the greatest losses from Friday's close, trading midday Tuesday at Eur23.45/MWh from Eur25.00/MWh at Friday's close.
Revised temperature forecasts caused prices on prompt contracts to drop from the stronger levels heard on Friday to trade significantly lower by midday, London time.
"The milder than expected temperatures are moving the prices down across European markets," said a trader.
Continental Europe's main gas trading hub, the Dutch TTF, shed 85 euro cents on its day-ahead contract from Friday's close, to trade midday Tuesday at Eur23.15/MWh. The TTF February contract fell Eur1.15 from its close Friday to trade midday Tuesday at Eur22.80/MWh.
The temperature in Amsterdam is currently 2 degrees Celsius below the seasonal norm, according to forecaster CustomWeather. However, by the weekend it is expected to be approximately 3 C above the seasonal norm.
Similarly, in Paris, forecast temperatures are at 5 C below the seasonal norm for Wednesday but are expected to be 1 C above the seasonal norm on Thursday and 5 C above the seasonal norm on Thursday and Friday.
As a result, France's PEG Nord day-ahead fell 70 euro cent from Friday's close to trade midday Tuesday at Eur23.30/MWh.
In the German markets, the GASPOOL day-ahead contract traded at Eur23.40/MWh midday Tuesday, shedding 45 euro cent from Friday's close. The Net Connect Germany day-ahead price fell Eur1.00 to trade midday Tuesday at Eur23.50/MWh.
The Italian PSV traded Eur1.00 lower midday Tuesday, with Eur24.20/MWh heard for the day-ahead contract. However, Austria's Baumgarten day-ahead contract heard the greatest losses from Friday's close, trading midday Tuesday at Eur23.45/MWh from Eur25.00/MWh at Friday's close.
