Markets saw some steep declines during the month of August
Wednesday 4th September 2019
Markets saw some steep declines during the month of August. This was particularly pronounced on the October ’19 gas Annual, and cheaper gas prices fed through to power. There has been general bearishness in global energy, with oil, coal and carbon prices all off. Much of the downward pressure is attributable to ongoing talk of a slowing economy and pressure from the escalating trade war between the US and China. Closer to home, there are of course the ongoing Brexit issues, with related economic uncertainty. Gas levels look very comfortable for the coming Winter ’19 season, with storage levels well above average – this may indicate less volatility in the coming months, although changeable renewable output has again caused spikes on short-term markets.