A weekend of snowfall has brought an early Christmas for U.K. natural gas bulls, reports Bloomberg Markets.
Same-day prices surged to their highest level since 2014 as demand jumped with a plunge in temperatures after snow covered much of the country over the weekend. The contract soared to 13 percent, the most since June, as forecasters predict more snow and colder-than-usual weather while outages curbed supplies to some terminals.
Inspired Energy Director of Energy Intensive Clients, Nick Campbell provided his view to the article:
“Whilst the weather-related heating demand was expected, the reduction in flows via a number of terminals was not,” comments Nick. “Therefore this has left the system tight and battling to pull in more gas from the continent.”